October 6, 2026 · DeKalb · Kosciusko · Marion

Dalton Foundry Reopening in Warsaw, Indiana Runs on a Different Clock Than the Automakers Buying Its Blocks

Dalton Foundry's Warsaw, Indiana reopening clears a tax abatement, but automakers still must decide if engine block business returns to Kosciusko County.

Daniel BurkePublished every day

Dalton Foundry's reopening in Warsaw, Indiana cleared its first real hurdle Monday night, when the Warsaw Common Council voted 7-0 to grant the foundry a 10-year tax abatement tied to an $8.2 million equipment investment and a planned hiring push from 17 employees to 125 by early 2027. The automakers who buy Dalton's gray iron engine blocks are deciding right now whether that business returns to Kosciusko County or stays with the German and Mexican casters who picked up the work after Dalton's parent company collapsed in bankruptcy this spring.

01Statewide

Dalton Foundry's Warsaw, Indiana Reopening Clears the Council, Customer Decision Still Open

Tony Goodman, Dalton's president, told the council Dalton is the only U.S. gray iron engine block supplier, and that the work went to German and Mexican casters after the May shutdown. That shutdown followed the fraud-driven bankruptcy of former parent First Brands.

For the huddle: If we have any single-source or sole-supplier product lines like Dalton's engine blocks, what's our contingency plan if that line goes dark for even a few months?

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02DeKalb

Nucor Vulcraft Adds a Steel Grating Line in St. Joe, DeKalb County

Nucor is putting $59 million into its Vulcraft site in St. Joe this quarter, with groundbreaking planned for a new steel grating line and 20 new jobs.

For the huddle: If Nucor is bolting a higher-margin product onto an existing Indiana footprint instead of building greenfield, where in our own operation could we add an adjacent, higher-margin product line without new real estate?

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03Statewide

Indiana's Cheapest Gas in the Country Sits on a Tax Holiday That Could End

AAA ranked Indiana's gas cheapest in the nation on October 2, at $3.79 a gallon against a $4.41 national average. That price depends on Governor Mike Braun's suspension of the state's roughly 59-cent gas tax, six months running now, and he called the July extension his final one.

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04Marion

CAMINUS to Manufacture Amprius Defense Battery Cells in Indianapolis

CAMINUS (formerly EnPower, rebranded October 1) announced October 5 a contract manufacturing agreement with Amprius Technologies (NYSE: AMPX) to produce Amprius-designed silicon-anode pouch cells at its 92,000-square-foot Indianapolis facility on Hague Road for aviation, defense, and uncrewed-systems customers. Qualification builds are underway now with volume production targeted for Q1 2027; CAMINUS's plant has self-reported capacity of over 500 MWh/year of electrode production and more than 2.4 million cells per year, and the deal follows Amprius's separate $75 million Department of War grant to convert a U.S. EV battery line for drone cell production.

For the huddle: With Indianapolis emerging as a defense-battery manufacturing node alongside the Southeast EV corridor, should we be exploring NDAA-compliant supply relationships before that domestic capacity gets fully booked?

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05Statewide

Indiana Holds Cheapest Gas in Nation as Diesel and Crude Stay Elevated

AAA data shows Indiana had the nation's cheapest gasoline on October 2 at $3.79 per gallon, 13.8% below the $4.41 national average, and GasBuddy's survey of 3,271 Indiana stations showed prices fell further to $3.73 by October 5 even as Brent crude held above $100 a barrel on renewed US-Iran tensions. But Indiana's gasoline price is still up 10% from $3.45 a month earlier, and the state's diesel average of $6.89 per gallon (the real cost driver for in-state logistics) remains far above the gas price and untouched by any relief.

For the huddle: Are our 2027 logistics contracts and fuel surcharge clauses built assuming today's artificially low Indiana gas prices hold, or do they account for a possible 59-cent reversal and the diesel spread that's already squeezing carriers?

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Questions for Your Morning Huddle

Q: Is Dalton Foundry reopening in Warsaw, Indiana for good? A: The Warsaw Common Council approved an abatement for $8.2 million in new equipment and growth to 125 jobs by early 2027, but no automaker has signed a confirmed agreement yet. The engine block business depends on whether GM, Mercury Marine, and other buyers requalify Dalton over the German and Mexican casters they moved to after the May shutdown.

Q: What does the Nucor Vulcraft expansion in St. Joe mean for DeKalb County hiring? A: Nucor's $59 million investment adds a steel grating line and 20 new jobs, and if Nucor pays above 150 percent of the county's average wage, every other employer in DeKalb County will be competing against that rate for skilled hires.

Q: Why is Indiana gas cheap but diesel expensive right now? A: Indiana's $3.79 gas price depends on Governor Braun's suspended state gas tax, which he has called his final extension, while diesel at $6.89 gets no relief from that holiday and is priced by different market factors entirely.

Q: What should we do about potential Dalton Foundry supply exposure? A: Get a restart date and a signed customer commitment in writing this month. Engine block business that leaves Warsaw this fall may not return for the life of the program once a buyer requalifies an overseas caster.

For more on what Nucor's new grating line means for suppliers and hiring in DeKalb County, see our report on Nucor's $59M St. Joe steel grating expansion.

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