Bolstered by EDGE for Startups incentives, company will bring investment and 150 jobs to the northern region
ROCKFORD - Governor JB Pritzker and the Illinois Department of Commerce and Economic Opportunity (DCEO) today announced an Economic Development for a Growing Economy (EDGE) for Startups agreement for Rockford Brake Manufacturing's $6.6 million investment to reestablish the company and reopen a historic Rockford factory. Four former employes of Gunite Corporation have created a new business, which will save Rockford's longest-standing factory since parent company Accuride closed Gunite's doors in February 2025 after announcing Chapter 11 bankruptcy. Bolstered by State incentives, the former Gunite employees are purchasing the idled factory and are relaunching operations as Rockford Brake Manufacturing.
"Here in Illinois, we strive to support our businesses and strengthen our communities through new economic opportunities - and that's exactly what we're doing in Rockford. Our state incentives are empowering Rockford Brake Manufacturing to bring 150 jobs to the area and reopen a historic Rockford factory," said Governor JB Pritzker. "I'm proud to see this factory continue its legacy in manufacturing, all while supporting the area and promoting sustainability."
This investment will enable Rockford Brake Manufacturing to purchase the 619,000-square-foot factory and 41 acres of land, including a grey iron foundry and machine shop specializing in manufacturing brake drums for the commercial vehicle industry.
"I'm immensely proud of this project for breathing new life into a company that once-and will again-have a rich history and place in Rockford. The Pritzker-Stratton administration is committed to restoring opportunity and ensuring every community across our state is a place where businesses thrive and families build bright futures," said Lt. Governor Juliana Stratton.
To preserve Gunite's legacy as a producer of high-quality brake components and cast parts for the heavy-duty trucking industry since its humble beginnings as a foundry in 1854, Rockford Brake Manufacturing is committed to restoring its top-tier manufacturing. The company will operate one of the most vertically integrated foundries in the Midwest, providing end-to-end production under one roof - the same roof that helped shape the rise of the nation's automotive industry.
"With critical support from the State of Illinois' EDGE for Startups program, Rockford Brake Manufacturing is preserving a storied legacy of manufacturing in Rockford," said DCEO Director Kristin Richards. "Illinois' reputation as a top manufacturing hub is bolstered by investments that are opening the doors to economic opportunity and creating new, good-paying jobs."
Additionally, the company is supporting the State's clean energy goals by serving as one of Illinois' largest recyclers, with 85% of its products made from recycled materials and 100% of finished products being recyclable. Byproducts from the foundry are sustainably recycled by local municipalities and used as deicer for roads, fill dirt, and concrete.
"The investment of the State of Illinois through the EDGE for startups program is critical to the launch and future success of Rockford Brake Manufacturing," said Rockford Brake Manufacturing CEO Paul Wright. "We are thankful for the support of our local elected officials and our partners at the State of Illinois to help us bring skilled well-paying jobs to Rockford through direct employment along with the considerable economic impact Rockford Brake Manufacturing brings to the region."
As part of the State's incentive package, Rockford Brake Manufacturing received an EDGE for Startups tax credit and has committed to making a $6.6 million investment and creating 150 new full-time jobs, including hiring many employees from the original workforce. A link to the full agreement can be found here.
"Rockford is proud to be home to a true American comeback story. A closed factory and laid-off workers came together to rebuild, rehire and reclaim their place in automotive manufacturing. That's true resilience," said Rockford Mayor Tom McNamara.
The EDGE program was expanded to include startups in 2022 to spur additional investment for newer companies that are in their growth stage. In order to do this, EDGE for Startups provides a benefit that allows companies to reduce their payroll withholding instead of their Illinois corporate income tax liability. This enables startup companies without corporate income tax liabilities to maximize their incentive to reinvest into their expansion project.
"The team at Rockford Brake Manufacturing exemplifies the grit, ingenuity, and perseverance that are hallmarks of our region's business community. Supporting them through the acquisition and start-up process has been truly rewarding and we look forward to continued collaboration as they launch and grow," said Greater Rockford Chamber of Commerce CEO Angela Kay Larson.