Senator Toomey gets closer look at Ellwood Group, which is making $10M investment due to corporate tax cuts
Ellwood Group, Inc. had a way to quantify the Tax Cuts and Jobs Act on Thursday morning when U.S. Senator Pat Toomey toured Irvine facility.
According to the company’s Chairman, President and CEO David Barensfeld, Ellwood — which makes military defense equipment among other heavy metal machine parts — is investing $10 million in “the largest commercial robot in the world,” which Barensfeld said will increase Ellwood’s overall efficiency by robotically transferring warhead casings from machine to machine.
As part of a tour across the state supporting the Tax Cuts and Jobs Act, which lowers corporate tax rates, Toomey made a stop at the Ellwood Group before heading off to Forest and Venango counties.
His goal at Ellwood, Toomey said, was to “get a better understanding of the work that’s done here,” which includes supplying the United States Air Force with its warheads.
Toomey said that his stop at Ellwood was both to gain a better understanding of Ellwood’s specific contribution to the nation’s defense, but also to understand the unique needs of local businesses.
“This is a huge employer in Warren County,” said Toomey, who added that his hope was to discover ways in which he could be helpful to Ellwood and companies like it at the federal level.”
With the $10 million automated machining cell, he said the tax reform is doing what it was meant to do with Ellwood investing new capital.
The federal Tax Cuts and Jobs Act lowered the maximum corporate income tax rate to 21 percent, “designed to make it more affordable for business to invest new capital,” said Toomey.