Korean firm boosts UK wind plans with £300m investment in Teesside factory
Korean renewables constructor SeAH Wind will invest up to £300m in a new turbine factory in North East England, which could create over 2,000 jobs in the region.
The firm is looking to make steel foundations for offshore wind turbines from a 90-acre site in Teesworks, next to the River Tees.
The factory is expected to create 750 direct jobs and 1,500 more in the supply chain, and be operational by 2026.
This follows the area being given freeport status in late 2021, creating an attractive tax regime for businesses including stamp duty and business rates relief.
Newly created state-owned UK Infrastructure Bank is investing £107m in the project help create a new quay next to where the factory will be built and further boost the offshore wind sector.
GE Renewable Energy (GE) was previously expected to develop a renewables factory on the site.
It plans have been on hold since December due to a lack of imminent UK turbine orders.
Instead, GE could build its plant on a second site adjacent to the SeAH project.
The government wants to increase offshore wind-power four-fold by the end of the decade, with wind-power featuring prominently in its ten point plan to reach net zero carbon emissions by 2050.
It is also reportedly keen to make sure jobs from the expansion are created in the UK, amid concerns that too many so far have gone abroad.
Joosung Lee, chief executive of SeAH Steel Holdings, argued the factory was in line with its ambitions to work with the government to strengthen the UK’s offshore wind sector.
He said: “We are pleased to take the first yet significant step for this goal in Teesside. We will endeavour to make our factory globally competitive as well as become a good member of the community.”
The investment is also good news for Ben Houchen, Tees Valley’s Conservative mayor.
SeAH had previously planned to develop a parts factory on the south bank of the Humber, North Lincolnshire.
Houchen said: “SeAH is an internationally recognised manufacturing company with an incredible reputation for quality and it’s a real coup that we’ve been able to secure their investment for Teesside.”
Construction is expected to start in July.