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Monticello Times

Wiha Tools celebrates American expansion

By Lauren Flaum Monticello Times,

13 days ago

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MONTICELLO — Wiha Tools, a local company with a global footprint and German origin, has expanded its American headquarters in Monticello, recently moving into a 90,000-square-foot space visible from Interstate 94.

The family-owned company feted its new $12.5 million facility on 7th Street, located on the north side of town, with a grand-opening celebration and ribbon-cutting ceremony April 9, bringing together city leaders, members of the business community, employees from around the world and others who contributed to the effort.

“We’re trying to modernize the business, become a little more efficient, a little more professional,” said Patrick DiPerno, divisional president and managing director for Wiha Tools USA. “The team is growing. We needed a nice, modern place to house everyone and support the growth of the business.”

Sitting on nearly 13 acres, Wiha’s new campus at 516 E. 7th St., replaces its former facility on Dundas Road in Monticello, where it had operated for the past four decades, since 1985.

Three flags flying high along its I-94 frontage — representing Germany, America and Wiha — offer a hint as to the company’s European heritage and international operations.

It took just under a year to get the new location — designed by Lampert Architects and built by Kinghorn Construction — up and running, after ground was broken in April 2023.

With the old building on the south side of I-94 sold to Servpro of Wright County, Wiha workers moved into their new digs the first week of March.

Wiha Tools added 14 new positions with its expansion, bringing a total of 81 employees to the Monticello facility, with more to come in the future as the business continues to develop, DiPerno said.

“We are not fully staffed right now,” said Ryan Selly, director of operations. He said Wiha currently has three open positions in the Monticello warehouse, including in the setup and kitting departments.

Expansion in two phases

This is only the first phase of the company’s U.S. expansion.

A planned second phase would add an additional 85,000 square feet, making the total footprint 175,000 square feet, with a potential 25 more jobs.

The completed project is estimated to cost approximately $17 million altogether.

With 1,500 employees worldwide, factories in four countries — Germany, Poland, Switzerland and Vietnam — and its products sold in nearly 80 countries, the business has seen massive growth since its founding 85 years ago in Wuppertal, Germany, in 1939.

While the Monticello facility is the base of the company’s largest division, Wiha Tools USA, it also operates a separate automotive parts division, along with a small company in Switzerland that makes products out of composite materials, including hockey sticks and surfboard fins.

Hand tools, however, are what the company was founded on, and remain the largest source of revenue.

“The tools company last year did about $125 million USD revenue,” said CEO Wilhelm Hahn, grandson of founder Willi Hahn.

The third-generation owner shared the company’s goal of doubling that figure in the coming years.

“Our plan is to grow to a quarter billion — $250 to $300 million — through 2030,” he said. “And this is one of the reasons why we invested into this nice big building. Everything is bigger, not only in Texas, but also Minnesota.”

Wiha Tools makes more than 3,500 different professional-grade products, with everything from screwdrivers, pliers, bits, hex keys and mechanics tools to insulated tools, torque-control products and power-tool accessories.

While most of that is produced in Germany at one of the three factories there, the Monticello facility serves as the company’s distribution and logistics center, among other roles.

“We basically do everything here that a business would do with the exception of manufacturing,” DiPerno said. “So we’ve got sales, marketing, finance, product development.”

Monticello is also where assembly, packaging, printing and shipping are done for all of the tool company’s business in North, Central and South America.

While a high-cube warehouse takes up a big chunk of the 90,000-square-foot space, it also includes a large training facility, digital-marketing studio, high-capacity print shop, product-testing laboratory, conference areas and meeting spaces, three huddle rooms and a company store that is open to the public.

On-site amenities for staff include an employee workout room with showers, a modern lunch room and separate cafe, a quiet room, outdoor walking trails and a large outdoor patio.

Unveiling the new facility

All of this was available for visitors to tour during Wiha Tool’s well-attended grand opening on a recent sunny April afternoon, which drew about 200 people, including members of the City Council, Monticello Chamber of Commerce & Industry leaders and many from the business community.

“The turnout was amazing,” said Mayor Lloyd Hilgart, who was joined by fellow city councilors Charlotte Gabler and Sam Murdoff, along with Economic Development Manager Jim Thares. “I would say that’s one of the largest turnouts I’ve ever seen.”

About half of those present were Wiha workers, including high-level employees who had flown in from around the world, some coming as far as Germany and Poland, with one, the general manager of Wiha’s Song Cong plant, coming all the way from Vietnam.

The German contingent included second-generation owner and former CEO Wilfried Hahn, a son of the founder, who ran the company from 1976 until 2011, when his own son took over.

While in town, the Wiha group was staying at the Best Western Plus Chelsea Hotel.

Months of work went into planning the grand opening, said executive assistant Melissa Klang, who helped organize the celebration, which included food and drink.

A spread of edible delights featured a German specialty — soft, salted pretzels, served warm with mustard for dipping — along with platters of salmon, sausage skewers and more.

Nordic Brewpub owner and operator Zach Barthel was on hand, serving up beer and other alcoholic beverages to those looking to imbibe.

During the event, Wilhelm Hahn gave a presentation on Wiha’s history, explaining how his grandfather was forced to restart the company twice after founding it at the start of World War II, first after British bombs destroyed the original facility and then after Russian looting at the war’s end.

Hilgart said he was fascinated to learn the backstory.

“I thought it was pretty amazing,” he said. “Just the story behind the company was pretty moving. You can’t make up a story about rebuilding multiple times due to World War II and Russian invasions.”

“It’s just amazing what someone endured to be in business,” he continued. “A lot of people would have given up.”

Wilhelm also explained how the company went international, a feat accomplished by his German-born father, Wilfried, who, as a youth, spent a year in Galveston, Texas, as a foreign-exchange student.

“That’s how this started, his love for the United States, his language affinity,” Wilhelm said of his dad.

He also shared how the company found its way to Minnesota, explaining it stemmed from a relationship with the Bondhus Corporation in the 1980s, when that Monticello-based company was importing Wiha hand tools into the U.S.

“They conspired and founded Willi Hahn Corporation here and, across the freeway, built the building, a huge investment for a small company back then,” he said. “Now, 40 years later, a big success.”

And now, the CEO said, “My job is to take this heritage to the next generation, facilitating needs for the professional, modern tradesman.”

He offered his appreciation to Monticello for its role, saying “We have to thank the City of Monticello for the support.”

The city’s Economic Development Authority (EDA) was aggressive in supporting Wiha Tools’ expansion, according to Hilgart.

“This is the purpose of the EDA, to keep these businesses in town when they’re ready to expand,” he said. “It means that not only were we able to retain the jobs that were already here, they’ll be adding more in the next few years.”

It’s a mutually beneficial relationship, as city leaders are thrilled to host the U.S. headquarters of a prominent global company.

“I am delighted that Wiha has chosen to continue to call Monticello its American headquarters,” Gabler said. “Their new facility consolidates locations they have had in town for many years, will add additional employment opportunities, and developed a piece of land that had been vacant for many years.”

For more information or to purchase tools, visit the company’s website at www.wihatools.com.

To shop in person, Wiha Tools can be found at Lowe’s.

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