Southern Auto Corridor - Fall 2019

The future of car buying?
The Arizona-based online auto sales platform, noted for its “car vending machines,” plans to invest more than $45 million to construct a distribution and fulfillment center and create more than 300 jobs in Bessemer, Ala. Carvana is also planning to invest $40 million in a 400-employee inspection and distribution center in West Memphis, Ark. North Carolina is offering $1.2 million in tax incentives to Carvana, a move that the Cooper Administration says will result in nearly $512 million for the state’s economy as the e-commerce car sales platform plans to open a new inspection and reconditioning facility in Cabarrus County. Shown here is a new “vending machine” in Kansas. City, Mo.

ALABAMA

Hyundai to build pickup at Montgomery plant
Korean automaker Hyundai is entering the U.S. pickup truck market by building the vehicle at its plant in Montgomery, Ala. The company will invest $410 million to add the line and create 200 jobs. Expected to go into production in 2021, Hyundai has billed the model, called Santa Cruz, a “compact utility vehicle,” but it features an open truck bed.

Hyundai to invest another $292 million in Alabama plant
Hyundai Motor Manufacturing Alabama (HMMA) recently announced that it’s preparing to invest nearly $300 million more in new machinery and equipment for its factory in Montgomery. The money will help with production of the redesigned Elantra and Santa Fe vehicles as well as the company’s new, more fuel-efficient Theta engine. Back in June, HMMA celebrated the opening of its new cylinder head manufacturing plant. The 260,000-square-foot facility represents a $388 million investment and 50 new jobs.

Megasite in Montgomery receives certification
The Montgomery Mega Site has received an Alabama AdvantageSite designation. The AdvantageSite program requires that community economic development organizations provide documentation specific to a proposed industrial site, including a set of standard data related to ownership/control, environmental and geotechnical conditions, and infrastructure status. Sites must also meet size, zoning and accessibility requirements. The Montgomery Mega Site is a 1,842-acre site located approximately 2.5 miles (5 minutes) from Interstate 65. The site can be accessed by Hyundai Boulevard or U.S. Highway 331. The eastern boundary of the main site and the western boundary of the out-parcel are served by rail. All utilities are at the site.

Hyundai begins production of redesigned Sonata
Alabama’s Hyundai plant launched mass production of the redesigned Sonata sedan in November, another milestone for the $1.8 billion, 3,000-worker Montgomery facility. The 2020 Sonata features improved safety, technology, performance and fuel efficiency, along with an all-new sporty design that is a departure from the brand’s traditional styling.

Supplier base for Mazda Toyota growing in Northern Alabama
The joint-venture auto plant project between Mazda and Toyota is seeing a large supply chain investment in the Huntsville area. Already, five suppliers to the plant have announced projects worth $440 million, and that is expected to increase substantially before the assembly plant opens in 2021. Mazda Toyota Manufacturing USA will open with the capacity for 150,000 vehicles to be built in the first year.

Two auto suppliers creating over 500 jobs in Tuscaloosa County
The Tuscaloosa County Industrial Development Authority approved tax abatements for projects by two automotive parts suppliers that are expected to create more than 500 jobs. International Automotive Components Group North will invest  $22.3 million and create 119 jobs. Lear Corp. plans to make a $12.4 million investment in an expansion that is expected to create 442 jobs.

Mercedes to build luxury SUV at its Alabama plant
Mercedes-Benz is introducing a vehicle that combines the luxury features of its flagship S-Class sedan with the GLS full-size SUV as part of a push to increase profits through sales of upscale cars. The Mercedes-Maybach GLS 600 will hit showrooms in the second half of next year, the Daimler AG brand reported. The vehicle, which is powered by a V-8 engine including a 48-volt hybrid system, will be built at Daimler’s factory in Tuscaloosa. Optional features include folding tables and a refrigerator with space for champagne bottles.

South Korea-based Shinhwa Group plans manufacturing complex in Auburn, Ala.
The Shinhwa Group, a South Korean-based automotive parts manufacturer, plans to invest $42 million to establish its first manufacturing operation in the U.S in Auburn, Ala. The project is expected to create 95 jobs. Initially, Shinhwa will produce drive shafts for vehicles made by Hyundai Motor Manufacturing Alabama and Kia Motor Manufacturing Georgia, just across the state line in West Point. Looking to the future, Shinhwa plans to expand its production in Auburn to also provide parts for other car manufacturers.

Carvana delivering 450 jobs in Alabama
Carvana, an e-commerce platform for buying and selling used cars, plans to invest more than $45 million to construct an Alabama distribution and fulfillment center, and create more than 300 jobs. Construction of a 200,000-square-foot distribution facility in Bessemer is expected to begin in April 2020 and open by December 2021. The total project is about $47 million in capital investment.

ARKANSAS

Nucor opens Mississippi County, Ark., steel plant
Charlotte-based Nucor Steel opened its new specialty cold steel mill at its massive complex in Mississippi County, Ark., in the fall quarter. Most of the new capacity will be used for the automotive industry. The company invested $230 million in the project that will create 100 jobs.

Carvana expected to bring 400 new jobs to West Memphis, Ark.
Carvana plans to open an inspection and distribution center in West Memphis. The Arizona-based online auto sales platform, noted for its “car vending machines,”  will invest $40 million in the West Memphis facility and plans to eventually employ more than 400 people. Automobiles will be inspected, reconditioned, photographed and stored at the facility.

GEORGIA

Kia celebrates 10 years of production in West Georgia
South Korea-based Kia Motors celebrated 10 years of vehicle production in West Point, Ga. The plant is the first for Kia in the U.S., and supports more than 15,000 jobs in West Georgia. It assembled the first vehicle in November 2009, and currently has a capacity of building 340,000 vehicles per year.

Automotive supplier announces new plant for Georgia
In the fall quarter, Nippon Light Metal Georgia announced it will create 110 jobs while investing $50 million in building a new manufacturing facility in Adairsville. The plant is expected to be operational in 2022. Nippon Light Metal Georgia specializes in aluminum products for the automotive industry.

Goodyear to consolidate Atlanta facilities to Coweta County, Ga.
In June 2016, the former Orchard Hills Golf Course property on Georgia Highway 16 in Newnan’s southeast side was rezoned as a major industrial and commercial site. In November, Goodyear Tire and Rubber announced it would build a 1.5 million-square-foot facility that will consolidate its Atlanta area distribution centers. The $140 million project will create 250 jobs in Coweta County.

Firetruck company bringing 300 jobs to Georgia
Fouts Brothers is moving its headquarters and manufacturing operations to Milledgeville, Ga. The company will invest $15 million and create 300 jobs. 

Company expanding its aluminum recycling operation in Georgia
Novelis, a maker of aluminum for the automotive industry, is investing $36 million in its recycling plant in Greensboro, Ga. The recycled aluminum will then be used by auto assembly companies.

KENTUCKY

Ford planning $1 billion investment in Louisville operations
Ford Motor Co. agrees to invest more than $1 billion in its Louisville operations in a proposed contract with United Auto Workers. The agreement includes a commitment from Ford to create 8,500 new or secured jobs as well as invest $6 billion in products across its operations. One billion of that investment will come at the Kentucky Truck Plant to support an all-new Super Duty F-Series truck as well as all-new Ford Expedition and Lincoln Navigator vehicles. Another $100 million in new investment is planned at the Louisville plant to support continued production of the Ford Escape and Lincoln Corsair.

Toyota expanding Kentucky plant, again
Japanese automaker Toyota is expanding its Georgetown, Ky., plant once again. Toyota is adding 400 workers as soon as possible at the plant, which is the automaker’s largest in the world. All workers hired will receive a $500 signing bonus if they remain on the job for at least six months. . .the first time Toyota has offered a signing bonus for new hires. This is the latest announcement in what has been a busy year for Toyota’s Kentucky plant. In March, the automaker announced it would invest $238 million to launch assembly of two hybrid vehicles in Kentucky, its RAV4 and the luxury Lexus ES 300.

GM Bowling Green plant to add 400 jobs
Automaker GM plans to add a second shift and more than 400 new employees at the Bowling Green Assembly Plant in preparation to build the next-generation Chevrolet Corvette later this year.

Kobelco expands plant in Bowling Green
Japan-based automotive parts manufacturer Kobelco Aluminum Products & Extrusions has reached full capacity at its new facility in Bowling Green. The company will undergo a $42 million, 90-job expansion that will push total employment at the plant to 220 and total investment to $95 million.

Bendix investing $65 million in Kentucky plant expansion
Bendix Spicer Foundation Brake is investing $65 million to expand its facility in Bowling Green, and plans to add 100 new jobs. Bendix makes air disc brakes for commercial vehicles.

MISSISSIPPI

Continental AG opens Mississippi tire plant
Germany-based Continental AG opened its tire plant in Central Mississippi in November. The $1.45 billion facility on 900 acres is one of the largest projects ever announced in the Jackson, Miss., region. The plant is expected to house 2,500 workers within the next nine years.

 

NORTH CAROLINA

India-based Bharat Forge to open in Sanford, N.C.
Bharat Forge America will invest $127.3 million to build an aluminum forging plant to manufacture automobile components in Sanford. The company plans to create 304 jobs there. The new facility in Sanford will be part of a larger manufacturing center that will bring as many as 460 jobs to Lee County.

Dump truck builder expands into North Carolina Triad
Dump Truck body manufacturer Ox Bodies is set to open an operation in High Point, creating at least 40 jobs. The company will paint dump truck bodies, install those bodies on client-provided chassis, and provide parts, service and installation of other commercial truck accessories in the former Hatteras Yachts building.

North Carolina wins Carvana
North Carolina is offering $1.2 million in tax incentives to Carvana, a move that the Cooper Administration says will result in nearly $512 million for the state’s economy. The e-commerce car sales platform plans to open a new inspection and reconditioning facility in Cabarrus County. The Concord facility’s staff will inspect, refurbish and process vehicles for online sales.

SOUTH CAROLINA

BMW celebrates 25 years in South Carolina
In the fall quarter, BMW workers and officials celebrated 25 years of its plant in Spartanburg County, S.C. To date, BMW has assembled 4.75 million vehicles and has exported 3 million of those through the Port of Charleston. BMW is the nation’s No. 1 exporter of vehicles from just one plant that houses 11,000 workers.

Truck manufacturer will establish operations in South Carolina
Spartan Motors, assembler of fleet, work truck and specialty service vehicle manufacturing, is establishing operations in Charleston County. The $1.15 million investment will create 308 jobs.

MM Technics expands factory in Newberry County
MM Technics, an American subsidiary of automotive supplier Muhr Metalltechnik, will invest $6 million to expand its production plant in Newberry County. MM Technics has added another metal stamping press and high-speed robotic welding systems to supply automotive companies throughout the United States and Europe.

TENNESSEE

Volkswagen will build its first electric vehicle in Tennessee
German automaker Volkswagen announced in the fall it will build its first electric vehicle at its plant in Chattanooga. The $800 million project to build another line will create 1,000 jobs. The expansion also includes a 564,000-square-foot addition to the body shop and a battery pack assembly facility.

Nokian Tyres opens $360 million plant in Dayton, Tenn.
Finland-based Nokian Tyres’ $360 million factory was unveiled before several hundred people during a ceremony in October. By year’s end, the 830,000-square-foot plant — its first plant in the United States — aims to have as many as 150 employees, and 400 when the plant is at full production, making 4 million tires annually.

Topre America plans $63 million expansion in Smyrna, Tenn.
Topre America will add 51 advanced manufacturing jobs to its automotive stamping operation near the Nissan manufacturing plant. The new jobs are part of a $63 million capital investment and the fourth expansion by the Japanese-based company in five years.

Nippon Paint investing $60 million In Tennessee
Nippon Paint will invest approximately $60 million to establish a facility in Chattanooga. The company will create 150 jobs in Hamilton County as it expands its paint and coating products for automotive customers in the U.S., Canada and Mexico.

Airtech announces $13 million expansion
A manufacturer in Robertson County, Tenn., will soon invest $13 million in its plant and add about 30 new jobs. Airtech, a vacuum bagging and composite tooling materials manufacturer, serves many sectors, including aerospace and automotive.

Chinese company to establish first U.S. facility in Tennessee
Global Track Manufacturing, a maker of rubber tracks and undercarriage parts for industrial and agricultural equipment, is reopening the old Tower Automotive plant in Milan, Tenn. The deal, which will open next summer, will create 250 jobs.

Henderson Stamping and Production expands Tennessee plant
Henderson Stamping and Production, a metal stamping manufacturer for the appliance and automotive industries, will invest $13.5 million to expand its operations center in Henderson, Tenn. The deal will create 52 jobs.

TEXAS

Toyota’s $391 million expansion is first major renovation of San Antonio plant since 2006
Toyota announced it will spend $391 million to expand its San Antonio truck factory — the biggest capital infusion at the facility since production began in 2006. Once completed, the automaker said its total investment in the plant will exceed $3 billion.

Navistar plans to build $250 million facility San Antonio
Navistar, the Illinois based company that makes commercial trucks, plans to spend more than $250 million to build a new manufacturing facility in San Antonio, delivering 600 new jobs to the area. The investment is contingent on finalization of various incentive packages.

Ford’s new Texas call center to generate 500 jobs
The Ford Motor Company recently announced it would be opening a new customer contact center in Houston, where company officials expect it to generate as many as 500 jobs.

Metals startup announces new Houston factory
Toyota Tsusho America, the Japanese automaker’s supply chain arm, announced a joint venture with Modumetal, which will be named ModuTAI. They will establish a new production facility in Houston. The new company will make specialized alloy products for the oil and gas industry, and plans to expand into construction, marine and transportation markets.

DENSO opens R&D center in Plano
Japan-based DENSO, the world’s second largest automotive supplier, will invest $1.3 million to open its Texas Innovation and Connected Service Center in Plano.

New manufacturing facility to create 200 jobs in Seguin
A Michigan-based company is set to build a manufacturing facility that will create 200 new jobs for the city of Seguin. Continental Structural Plastics is making a capital investment of $70 million to construct the 200,000-square-foot facility that will produce lightweight composite solutions for the automotive, heavy truck, HVAC and construction industries.

Supercar manufacturer moving its U.S. base to North Texas
British supercar manufacturer McLaren Automotive is moving its North American base of operations from New York to Coppell, Texas. McLaren Automotive’s luxury sports cars are manufactured at the company’s plant in Surrey, England, and shipped to the U.S. Since entering the U.S. market eight years ago, McLaren has sold more than 7,000 of its cars, which start at $200,000.

Goodyear expands tire testing facility in Texas
Goodyear Tire & Rubber Company has plans for two new expansion projects at its vehicle dynamics proving ground in San Angelo, Texas. The San Angelo facility covers 7,250 acres and includes 58 miles of roads and track, 14 miles of fence and more than 200 test vehicles.

VIRGINIA

Van assembly plant set for rural Virginia
Morgan Olson will invest $57.8 million to establish a new aluminum walk-in step van assembly plant in Danville-Pittsylvania County, Va. The vans are used by food distributors and other industries. The project will create 700 jobs.

$400 million expansion underway at Volvo Truck’s Virginia plant
Volvo Trucks North America will invest nearly $400 million over the next six years to upgrade the New River Valley plant that produces all Volvo trucks sold in North America. Upgrades include expansion of the plant’s footprint and installation of equipment.

Injection molder investing $3.7 million In Virginia
Injection molder Blue Ridge Industries (BRI) will invest $3.7 million and hire 13 more employees at its manufacturing plant in Winchester, Va., where the company is based. BRI manufactures a wide variety of plastic parts for the automotive, construction and electronic enclosures markets.

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