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News | November 21, 2023
3 minute read

Warner Leads Calumet Electronics to Secure Nearly $50 Million in Federal and State Incentive Packages

Warner Norcross + Judd LLP served as legal counsel to Calumet Electronics as the company secured nearly $50 million in federal and state support to scale up manufacturing for a first-of-its-kind package substrate and printed circuit board factory in Michigan’s Upper Peninsula.

Calumet Electronics, which works closely with the U.S. Department of Defense, is an award-winning engineering and manufacturing company that produces sophisticated printed circuit boards and recently developed the ability to manufacture packaged substrates critical to the semiconductor ecosystem. The company is 100% American owned and does not offshore any aspect of its production, which helps qualify it to handle highly sensitive information and technology.

“The financial support we received is humbling and advances the mission of Calumet Electronics to strengthen national security and our local community,” said Stephen Vairo, Calumet Electronics CEO. “These investments were made possible by the ingenuity and determination of the team at Calumet Electronics and ongoing support of our partners who are committed to investing in people and technologies to keep the U.S. and Michigan as leaders in advanced electronics manufacturing.”

Calumet received a total investment of $39.9 million via the U.S. Department of Defense under the Defense Production Act Title III. The investment was made possible by President Biden’s Presidential Determination in March 2023, authorizing the Defense Production Act to support the nation’s domestic semiconductor industrial base.

Calumet also received $7.5 million in incentives from the Michigan Economic Development Corporation via the Michigan Strategic Fund to support the company’s emerging capability to enable next-generation DoD technology in critical multifunction applications. The state provided additional tax and property incentives in its package.

“This is a great win for Calumet Electronics, for the country, for the state of Michigan and especially for the Upper Peninsula, which stands to continue creating jobs and upskilling the company’s current workforce to increase payroll value in the community,” said retired Maj. Gen. Michael A. Stone, a Warner attorney who co-led the firm’s project team. “It’s also a significant step in Michigan’s stated intention to diversify the state’s economy and to lead the way in high-tech and clean-tech manufacturing. These investments represent a considerable win for everyone involved.”

The new plant will be built on the company’s campus in Calumet Township in Michigan’s Upper Peninsula and will produce technologies including high-density build-up substrates, which include high-density interconnect printed circuit board cores and HDBU build-up layers. HDBU substrates and advanced packaging are critical enabling technologies for sixth-generation systems and applications including radar, electronic warfare, processing and communications.

Warner’s team was co-led by Stone and Kurt M. Brauer and supported by Adam D. Bruski, Sarah Harper and other Warner attorneys who provided legal counsel on a range of matters across aerospace and defense, corporate, economic incentives, government contracting, real estate, supply chain and tax law. The team worked closely with representatives from the Michigan Strategic Fund, InvestUP and Marketing Department, Inc.

Warner’s Aerospace and Defense Industry Group attorneys are trusted leaders in the industry who work with clients to operationalize their strategies, connect potential partners for ventures, maximize opportunities and problem-solve. The team can comprehensively handle the most complex global and national issues including national policy, federal budget opportunities, government and DoD contracting, strategic partnership support as well as merger and acquisition support to aid the firm’s clients.

About Warner

By providing discerning and proactive legal advice, Warner Norcross + Judd LLP builds a better partnership with our clients. One of Michigan’s largest law firms, we’re focused on providing the best legal solutions and exceptional client service to organizations throughout the world. Connect with us on wnj.com, LinkedIn, Twitter or Facebook.

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