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Gov. Beshear and DHL Express Celebrate Groundbreaking of New $292 Million Aviation Maintenance Facility at CVG Airport, Creating 300 Jobs

Arts and Entertainment

October 22, 2024

From: Kentucky Governor Andy Beshear

New facility is expected to be fully operational by January 2026

FRANKFORT, KY - On Oct. 22, 2024, Gov. Andy Beshear highlighted continued momentum of the state’s logistics sector as DHL Express announced the groundbreaking of the company’s new state-of-the-art aviation maintenance facility in Northern Kentucky, a $292 million investment creating 300 new, full-time jobs.

“I am thrilled to support DHL’s continued growth in our state,” said Gov. Beshear. “This expansion not only brings new jobs to the region but also strengthens Kentucky’s position as the premier logistics hub in the United States. Thank you to the leaders at DHL for their continued commitment to the commonwealth.”

The project, which has increased in scope since it was originally announced in July 2023 as a $192 million investment, will include the construction of a 305,000-square-foot, state-of-the-art aviation maintenance facility and expanded aircraft apron at the company’s Global Hub at the Cincinnati/Northern Kentucky International Airport (CVG). The new operation will enable more efficient repairs, reducing aircraft downtime and improving service reliability to support timely customer deliveries. The expansion of the aircraft apron will allow for the accommodation of more aircraft, increasing the capability to handle a larger volume of shipments. Additionally, the facility will allow for the weatherproofing of line maintenance activities that will accommodate maintenance tasks for DHL’s fleet of 737s, 767s, and 777s.

“Our customers are at the heart of everything we do, and the new maintenance facility at our CVG Global Hub is a testament to that commitment,” said Andrew Williams, CEO, DHL Express Americas. “By enhancing our operational capabilities, we are not only reducing delays and ensuring faster service but also expanding our capacity to meet the growing needs of our customers with even greater efficiency and reliability.”

DHL Express is part of DHL Group, headquartered in Bonn, Germany, and is a global leader in mail, delivery and logistics. With approximately 395,000 employees in more than 220 countries and territories worldwide, DHL connects people and businesses securely and reliably, enabling sustainable global trade flows. In 2009, DHL established its global Americas air hub at CVG and has continued to grow nearly every year since. DHL’s CVG hub currently operates on 194 acres with 67 aircraft parking gates and 6.4 million square feet of ramp area. The operation sits at the heart of the DHL Express network with 117 daily flights and a fleet of 64 aircraft, connecting customers from more than 220 countries and territories worldwide to every corner of the U.S., and is one of three DHL global superhubs, with the other two based in Hong Kong and Germany.

Candace McGraw, CEO at CVG, highlighted the longstanding partnership with the company: “DHL is a valued long-time partner, and we’re pleased they continue to invest at CVG. DHL’s Global Superhub is an integral part of our regional and state economy. Its ongoing success requires having the facilities and workforce able to serve the global air cargo industry, and this development aligns with our vision to expand aircraft maintenance and support services on campus.”

Boone County Judge/Executive Gary Moore shared that DHL’s success positively impacts Northern Kentucky: “DHL’s continued growth at CVG is integral to the prosperity of our region. I’m thrilled to see the additional investment and jobs being created by DHL for this aviation maintenance facility that will keep their fleet of planes in the air and moving cargo around the world.”

BE NKY Growth Partnership CEO Lee Crume noted that DHL’s investment and new jobs are key drivers in the Cincinnati region’s economy: “DHL is one of the largest employers in Northern Kentucky and the company’s investment of nearly $300 million at CVG and commitment to create 300 new jobs is a testament to our region’s strength in workforce, collaboration and geographical location.”

DHL’s investment and job creation build on the best four-year period for economic growth in state history.

Since the beginning of his administration, Gov. Beshear has announced more than 1,000 private-sector new-location and expansion projects totaling over $32.8 billion in announced investments, creating more than 55,000 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth’s history.

The robust job creation has been accompanied by rising wages across the commonwealth. The average incentivized hourly wage in 2022 and 2023 topped $26 in consecutive years for the first time.

Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky as the electric vehicle battery production capital of the United States: Ford Motor Co. and SK On’s transformative $5.8 billion, 5,000-job BlueOval SK Battery Park in Hardin County; AESC’s $2 billion, 2,000-job gigafactory project in Warren County; Toyota’s $1.3 billion investment in Scott County; and INFAC North America’s $53 million investment in Taylor County, among others.

The Governor’s administration also secured the largest General Fund budget surplus and Rainy Day Fund, as well as the most jobs filled in state history. Last year, Kentucky set the record for the longest period with the lowest unemployment rates in state history.

Kentucky also secured rating increases from major credit rating agencies Fitch RatingsS&P Global Ratings and Moody’s Investors Service.

In March, Site Selection magazine ranked Kentucky third nationally and first in the South Central region for economic development projects per capita in its 2023 Governor’s Cup rankings. In April, Site Selection placed Kentucky second in the South Central region and in the top 10 nationally in its 2024 Prosperity Cup ranking, which recognizes state-level economic development agencies for their success in landing capital investment projects.

Gov. Beshear announced a “Supply Kentucky” initiative with the goal of boosting job growth, reducing costs and providing more security in the supply chains of our Kentucky companies.

To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) in July 2023 approved the company for tax incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.

By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.

In addition, DHL Express can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.

For more information on DHL Express, visit dhl.com.

A detailed community profile for Boone County can be viewed here.

Information on Kentucky’s economic development efforts and programs is available at CED.ky.gov. Fans of the Cabinet for Economic Development can also join the discussion at facebook.com/CEDkygov, on Twitter @CEDkygov, Instagram @CEDkygov and LinkedIn.