An international manufacturer that has called the Lehigh Valley home for nearly 60 years broke ground on an expansion that will improve efficiency by consolidating manufacturing and supply chain operations in the same location.
Bosch Rexroth Corporation broke ground on a $20 million, 50,000-square-foot logistics center adjacent to its North American hydraulics manufacturing hub in Lehigh Valley Industrial Park I in Bethlehem on Aug. 20. The new facility will enhance Bosch Rexroth’s ability to better serve customers with improved lead times and elevated flexibility. Storage capacity will be increased by 50% with state-of-the art systems for automated storage and retrieval.
“This building is a statement - we believe in the future here. We are preparing for growth, and we are committed to supporting our teams with the infrastructure that they need to succeed,” said Dr. Christina Franke, Executive Board Member for Production & Quality Management at Bosch Rexroth.
The new logistics center will replace one that Bosch Rexroth currently operates six miles away in Bethlehem Township. The expansion will be constructed by J.G. Petrucci Company, Inc. and designed by Spillman Farmer Architects.
Based in Germany, Bosch Rexroth produces automation equipment for industrial and mobile uses. The company began operating in the Lehigh Valley in 1967, in Easton, and later relocated to Bethlehem, where it designs and manufactures advanced hydraulic components and systems that power and control industrial machinery. The Lehigh Valley operations employ about 300.
“This project is not only about us. This project is about continuing a legacy of partnership and investment in this community. This community has supported us for many generations, and we are very happy to continue to grow for more decades to come,” Plant Manager Rafael Paredes said.
The company’s expansion follows expansions by several other manufacturers in the region earlier this year.
“We are proud that this global leader in advanced hydraulics continues to grow right here in the Lehigh Valley,” said Kristin Cahayla-Hoffman, Vice President of Business Development and Attraction at Lehigh Valley Economic Development Corporation (LVEDC). “This expansion demonstrates that the Lehigh Valley is an anchor for making and moving products.”
More than 37,000 people in the Lehigh Valley work in manufacturing, making it the region’s second-largest employment sector. When those jobs are combined with employment in logistics, the industrial sector is the single biggest driver of jobs in the Lehigh Valley, with nearly 74,000.
Manufacturing is a leading driver of the region’s record $55.7 billion economy. More than 700 manufacturers collectively produce an output of $9 billion, ranking the Lehigh Valley among the Top 15% of manufacturing markets in the nation.
“In the past year, the Lehigh Valley has welcomed new companies and seen expansions from existing companies in pharmaceuticals, food and beverage, energy storage, semiconductors, and more. And today, Bosch Rexroth joins that list,” Cahayla-Hoffman said. “This expansion is proof that the Lehigh Valley is a place where global companies thrive.”
Project Executive Joe Petrucci of J.G. Petrucci Company, Inc. said the building is intentionally designed to stand out, with features including textured elevations to add character.
“This is something different. It's unique, and it'll be a welcome addition to the Airport Road corridor,” he said.
The Bosch Rexroth expansion reflects the trend of “excellent economic development that we’re seeing throughout the city and throughout the region,” said Laura Collins, Director of Community and Economic Development for the city of Bethlehem.
She said it’s possible because of the collaboration of everyone involved, from Bosch Rexroth to J.G. Petrucci Co. Inc. to Lehigh Valley Industrial Park.
“We can't say thank you enough for that, because it adds to the overall vibrancy of this community and provides jobs,” Collins said. “It makes the Lehigh Valley a place where people want to come, where people want to live, where people want to invest.”
(Photos by LVEDC)