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USG plant receives $300K state grant

Governor Tim Walz and the Minnesota Department of Employment and Economic Development announced more than $7.8 million in funding for seven business expansion projects statewide, including $300,000 for the USG Interiors plant in Cloquet.

The Cloquet plant is USG’s largest production facility for ceiling tiles in North America, manufacturing products for customers — hotels, hospitals, offices, etc. — across the U.S. and internationally. The proposed project will replace an existing dryer with a state-of-the-art dryer that will include a heat recovery system and other design efficiencies that will reduce natural gas consumption by approximately 21 percent.

“By supporting business expansion, we’re helping businesses create good-paying jobs for Minnesotans,” Walz said. “We are committed to supporting our businesses and investing in communities across the state, whether through business expansion, grants for entrepreneurs, or child care.”

The USG anticipated total project cost is $38.5 million and is expected to help retain its 315 full-time employees.