Southern Auto Corridor - Fall 2018

BMW ponders a new engine plant in North America
BMW is considering building a second plant in the U.S. The German automaker is studying whether to build an engine plant to support its largest plant worldwide, which is located in Spartanburg County, S.C. The company is also about to open a plant in Mexico. Currently, BMW imports its engines from Europe to its U.S. plant. BMW officials have been discussing the new plant for several years.

 

 

 

ALABAMA

Mazda Toyota Manufacturing breaks ground on North Alabama plant
On November 16, 2018, Mazda Toyota Manufacturing USA broke ground on its $1.6 billion, 4,000-employee plant in Huntsville, Ala., and Limestone County. Fittingly, an automotive assembly line robot turned the first shovel of dirt. The plant will feature two lines, with one assembling the Toyota Corolla model and another building a new Mazda crossover SUV.

 

Alabama Gov. Kay Ivey (center) joins Mercedes officials Jason Hoff (left) and Markus Schäfer in turning a shovel at a groundbreaking ceremony for the automaker’s 2 million-square-foot battery plant in Bibb County, Ala. The plant will supply battery packs for Alabama-made electric vehicles at Mercedes’ plant in Vance, Ala.Mercedes breaks ground on Alabama battery plant
At a groundbreaking ceremony, Mercedes-Benz officials formally marked the start of construction on a 2 million-square-foot plant in Bibb County, Ala., that will supply battery packs for the automaker’s Alabama-made electric vehicles. The battery plant is a key component in a $1 billion Mercedes expansion announced in September 2017. The plan calls for Mercedes to begin producing electric SUVs at its assembly complex in Vance, about seven miles away, at the beginning of the next decade.

Hyundai considers significant upgrade of its plant in Montgomery
Hyundai CEO Wonhee Lee told Automotive News in the fall quarter that the Korean automaker may soon make a significant investment in its plant in Montgomery, Ala. The company is considering adding two more lines to the plant, one for an SUV and one for a new pickup truck. Hyundai assembles two sedans and one SUV there.

Hwashin investing $26 million in Alabama expansion
Auto supplier Hwashin America Corp. will expand its Greenville, Ala., manufacturing operation with a $26 million investment in new equipment and 50 new jobs. The company, which produces body components for Hyundai’s Alabama auto assembly plant, has been in expansion mode since arriving in Butler County in 2003.

Eissmann Group Automotive expands Alabama plant
A Germany-based firm that specializes in car interiors, trim components, shifter modules and other parts, Eissmann Group Automotive has completed a $14.5 million expansion at its assembly plant in Pell City, Ala. The project is adding 200 workers to the company’s St. Clair County workforce.

 

GEORGIA

Korean battery maker to locate plant in Georgia that will house 2,000
SK Innovation, a lithium-ion batteries manufacturer, is investing $1.67 billion in a new project in Jackson County, Ga. The batteries are used in hybrid electric vehicles. The project will create 2,000 jobs.

Toyo Tire expands plant
Japan-based Toyo Tire is investing $138 million in its tire plant in Bartow County, Ga. The company will also add 150 jobs to increase workers housed at the plant to 2,100. The expansion will add capacity to produce over 13 million passenger car tires per year.

Auto supplier to create 100 jobs in Troup County
SEWON America, a supplier to the automotive industry, will create 100 jobs and invest $160 million in expanding its North American headquarters and manufacturing plant in LaGrange. New jobs will include positions in supervision, production and warehouse operations.

 

KENTUCKY

Ford eliminates shift in Louisville; those 500 workers will move to truck plant
Ford Motor Co. is eliminating the “C shift” (nights and weekends) at its Louisville Assembly Plant where it assembles the Escape model. The company will move those 500 workers to the Kentucky Truck Plant, which is also located in Louisville. The truck plant makes the Expedition and Lincoln Navigator models, as well as the F-Series Super Duty pickups.

 

Auto parts supplier to add 250 Kentucky jobs
Metalsa announced plans to expand its plant in Elizabethtown, Ky. Metalsa, based in Mexico, is a supplier to automotive manufacturers, and its Elizabethtown facility is one of the largest operations throughout the company.

 

MISSISSIPPI

Continental Tire is hiring in Mississippi
Continental Tire has begun hiring and training its first employees in advance of its $1.45 billion plant in Clinton making commercial truck, bus and transport vehicle tires by late 2019. The company is hiring about 30 shop-floor operators through the end of the year, with plans to hire a total of 2,500 people by 2028.

Auto supplier expands in Lee County
Auto Parts Manufacturing Mississippi (APMM) is increasing production in Lee County, investing $100 million and creating 50 jobs. A Tier 1 automotive supplier located in Guntown, APMM produces stamped auto parts, body weld parts and plastic parts. The expansion accommodates increased production for the 2019 Toyota Corolla.

 

NORTH CAROLINA

Sonic Automotive to bring 500 jobs
Sonic Automotive, a Fortune 500 company, will locate an $11 million customer contact center in Gaston County, N.C. The project will create 500 jobs.

Advance Auto Parts relocating HQ to Raleigh
Advance Auto Parts announced in November it is relocating its headquarters from Roanoke, Va., to Raleigh, N.C. The company, which cited Raleigh’s tech-savvy workforce, is expected to hire 600 in the move.

North Carolina approves incentives for tire maker’s $200 million project
Bridgestone could get up to another $30 million from taxpayers if it keeps 2,000 jobs and invests at least $150 million in improvements within a six-year period at its eastern North Carolina factory. A state panel approved grants of up to $3 million a year for 10 years to Bridgestone Americas, which is updating its Wilson tire plant.

 

SOUTH CAROLINA

Exports of South Carolina-made BMWs keep dropping
Exports of BMWs made in South Carolina continue to drop as tariffs put a bite into the German automaker. As a result, BMW officials plan to move more production of the company’s SUVs to its plant in China. It already makes the X3 there and might move production of the X5 model to its China plant. In October, BMW sent 13,702 vehicles to foreign markets through the Port of Charleston. That’s a 16 percent drop from the same month a year ago, and the fourth consecutive monthly decline of exported vehicles. BMW officials have publicly stated that the U.S.-China trade war will cost the company $344 million this year.

India-based auto supplier expanding in South Carolina
Sundaram-Clayton Limited, a manufacturer of aluminum casting products for Mercedes-Benz Vans near Charleston, S.C., is expanding it campus in Ridgeville, S.C. The company will invest $40 million and hire 100 in the deal.

Volvo is reducing employment at new South Carolina plant due to tariffs
Volvo global CEO Hakan Samuelsson told USA Today in late November that the company is reducing hiring at its new $1.1 billion assembly plant in Berkeley County, S.C., due to President Trump’s trade war with China. Volvo chose South Carolina in 2015 for its first U.S. plant, and the facility opened for full production of the S60 sedan in the summer. In retaliation for tariffs from Trump, China hiked U.S. vehicle import tariffs from 25 percent to 40 percent. Volvo planned to export a large number of South Carolina-made Volvos to China. The company also planned to hire 1,500 by the end of this year and up to 4,000 when the Chinese-owned Swedish brand started another line for an SUV. The CEO did not say how many jobs will be reduced at the plant.

German auto supplier opens plant
Germany-based DRAXLMAIER has opened the $42 million expansion of its plant in Duncan, S.C. The project is creating 460 jobs.

Czech auto parts maker locating new operations
KV Final, a maker of metal parts for the automotive industry, will open a new plant in Spartanburg County, S.C. The company is investing $2.5 million in the facility that will house 50 workers.

Swedish auto supplier picks South Carolina for first U.S. plant
Gnotec Group is investing $5.9 million to locate a plant in Orangeburg County, S.C. The deal will create 78 jobs specializing in the engineering and manufacturing of metal components for automotive and commercial vehicles.

 

TENNESSEE

Smyrna’s Nissan plant approved for $158 million in upgrades
Nissan’s Smyrna factory will continue to hire for a workforce of 8,400 and to make improvements to the plant. The automaker obtained authorization in November from the Rutherford County Industrial Development Board for two bonds totaling $158.1 million. The money will be used for upgrades including new machinery and equipment.

Volkswagen could add 1,000 jobs in Tennessee
VW officials say they plan to add a third shift to the automaker’s Tennessee plant, a move that could add more than 1,000 workers. The new hires will help produce the five-seat Atlas SUV next year. Hiring is expected to continue in 2019.

Bridgestone announces $40 million Tennessee expansion
On November 16, tire manufacturer Bridgestone announced a $40 million expansion of its Tennessee truck and bus tire facility. Bridgestone plans to add 32,000 square feet of manufacturing space and invest in new equipment at the plant in Morrison, Tenn.

Truform Manufacturing expands in Dickson, Tenn.
Truform Manufacturing, an automotive and appliance supplier, will invest approximately $14 million to expand its operations in Dickson. The company plans to create nearly 90 jobs over the next five years.

Fuel Total Systems chooses Mount Pleasant, Tenn., for manufacturing plant
Fuel Total Systems (FTS), a manufacturer of automotive plastic fuel tank systems, will locate its new manufacturing facility in Mount Pleasant. The manufacturer will create 150 new jobs and invest approximately $60.9 million in Maury County. FTS is based in Japan and also has operations in Kentucky. 

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