The Toyota-Mazda site search that ended up on a TVA certified megasite in Limestone County, Ala., was really, really. . .and I mean, really. . .on the fast track. From conception in the summer of 2017, the site search ended in Alabama in January 2018.
With vehicle sales down slightly to 17.1 million in 2017 from 17.5 million in 2016, why did Toyota and Mazda work so fast to locate the $1.6 billion plant in the Southern Auto Corridor? For one, Mazda will make an entirely new SUV at the Huntsville facility that will open in 2021, and we all know Americans love their SUVs. Mazda plans to assemble 150,000 of those SUVs the first year at the Alabama plant.
The other factor is that Toyota is evolving its North American production capacity. The Japanese automaker ended production of the Corolla at a plant in Canada in order to make more RAV4 models, and decided not to assemble the sedan at a new plant in Guanajuato, Mexico that is still under construction. There, it will assemble a much needed vehicle, the Tacoma pickup truck. So, Toyota needed more Corolla capacity, which it will get with the North Alabama plant.
Corollas are also made 150 miles away from Huntsville at Toyota’s plant in Blue Springs, Miss. And, the engines for the Corolla are already being made at Toyota’s engine plant in Huntsville, just down the road from the new plant. So, everything was in place at the Alabama site for Toyota, and Mazda needed a partner to build the 4,000-employee, $1.6 billion plant to launch its new SUV for U.S. consumption.
Nissan expects to build a new U.S. plant within five years
Hiroto Saikawa, CEO of Nissan, told attendees at the Detroit Auto Show that the Japanese automaker will need to build a new U.S. plant in four to five years. The company operates its largest North American plant in Smyrna, Tenn., and another in Canton, Miss., in the Southern Automotive Corridor.
The Toyota-Mazda joint venture in Alabama will be a new company
Near the end of the winter quarter, officials with Toyota and Mazda were still working on plans for their new North Alabama plant, which was announced in January. The $1.6 billion, 4,000-employee complex is being built on a Huntsville, Ala.-annexed site near I-65 in Limestone County. The new plant will build the Toyota Corolla model and a new Mazda SUV. Brian Krinock, senior vice president in charge of Toyota plants in North America, said in Automotive News that there is more to the facility than simply being a joint venture between Mazda and Toyota. “It’s a new company,” Krinock said. “Not Toyota and not Mazda, but a new company.” So far, the name of the company is Mazda Toyota Manufacturing USA, but that could change.
Alabama captures Toyota-Mazda
It’s been 21 years since workers assembled the first vehicle in Tuscaloosa County at the famed Mercedes-Benz plant there. And in those 21 years, Alabama now has 57,000 workers directly employed by OEMs and suppliers. In early January, Alabama ascended to a place no state in the Southern Auto Corridor has reached. Alabama landed the huge Toyota-Mazda joint plant, giving the state four assembly operations, more than any other state in the South. The total incentive package for the plant is more than $700 million. The state package came in at $379.9 million, with the city of Huntsville (where the plant is being built) chipping in an additional $320 million. Limestone County, where the plant is being located, will give out tens of millions in incentives as well. The $1.6 billion project is expected to create 4,000 jobs with a completion date of 2021. Reports indicate that the project came down to a site in the Triad region of North Carolina and the site where the project is being built off Interstate 65 in Huntsville.
Topre America expanding again in Cullman, Ala.
Topre America, a manufacturer of stamped parts for Honda, Toyota and Nissan, is investing $80 million in its plant in Cullman, Ala. The new capacity will supply parts to the Nissan plant in Smyrna, Tenn., for the Altima model. The deal will create almost 100 jobs.
Mando expanding in Opelika, Ala.
Mando America Corp., a manufacturer of auto parts such as brakes, suspensions and steering systems, is investing more than $10 million at its headquarters and plant in Opelika.
Tier 1 Hyundai supplier expanding in Alabama
Hwashin America is undergoing another expansion of its plant in Greenville, Ala. The company supplies Hyundai’s plant in Montgomery. The $23 million project will create 100 new jobs.
Metal treatment manufacturer lands in Arkansas
Applied Process, a metal treatment company that does work for the aerospace and automotive industries, is opening a new plant in Fort Smith, Ark. The $2.5 million project will create 30 new jobs.
Automotive headquarters settling in Atlanta
In the winter quarter, PSA Group chose Atlanta for its North American headquarters. The French automaker that builds Peugeots and other brands is making a comeback in the U.S. General Motors also picked Atlanta for one of its four innovation centers and employs over 1,000 workers there. Mercedes-Benz just moved into its new North American headquarters in Atlanta, and Porsche also operates its headquarters near the Atlanta airport.
Big deal set for Kentucky
Battery maker EnerBlu is relocating its headquarters and production facility to Kentucky from California. The headquarters operation will go to Lexington and the 1-million-square-foot production facility will be built in Pikeville. The company makes batteries that power buses, trucks, military equipment and other vehicles. The $412 million project will create almost 1,000 jobs at the two locations.
Kentucky to get $300 million plant
A division of an Indian conglomerate will invest about $300 million in an aluminum sheet factory just north of Clarksville, Tenn., in Guthrie, Ky. Novelis plans a 2020 opening for a new plant to prepare aluminum for use as automobile parts such as hoods, doors and fenders. Novelis plans to hire about 125 people.
Ford investing in Louisville Truck Plant
Ford Motor Co. is adding capacity for large SUVs at its plant in Louisville. The automaker is investing $25 million to increase production by 25 percent of its Ford Expedition and Lincoln Navigator models. No new jobs will be created, but 400 new robots will be added.
South Korean parts supplier picks Kentucky for first U.S. plant
DAE-IL, a manufacturer of power-train parts used in the automotive industry, will invest $50 million in a new plant in Murray, Ky. The deal will create 120 full-time jobs.
Cooper Tire expanding in Mississippi
Cooper Tire & Rubber is locating its largest distribution center in the U.S. in Marshall County, Miss. The company will lease a new 1-million-square-foot facility and will spend $50 million in the deal that will create 100 jobs.
Molding company expands in Mississippi
Richardson Molding, a manufacturer of custom plastic-injection-molded products for the industrial lead battery sector and automotive market, is investing over $5 million to expand its plant in Philadelphia, Miss. The deal will create 53 jobs.
Parker Hannifin adding workers in Mississippi
Parker Hannifin, a manufacturer of motion and control systems for the automotive industry, is expanding its facility in Holly Springs, Miss. The deal will add 50 jobs.
Blue Springs, Mo., gets new auto parts manufacturer
A leading automotive technology company, Faurecia, will build a new $60 million, 250,000-square-foot facility in Blue Springs, Mo., creating 300 new jobs. The plant will manufacture and assemble door and instrument panels.
Spartan Light Metal Products expands Missouri plant
Spartan Light Metal Products, an advanced manufacturer of custom die-cast aluminum and magnesium products for the automotive and consumer products markets, will expand into a new multi-million-dollar state-of-the-art manufacturing facility located 120 miles west of St. Louis, in Mexico, Mo. The expansion is expected to add more than 100 new jobs.
Chinese tire plant goes to North Carolina
In the winter quarter, Chinese tire manufacturer Triangle Tyre announced it will invest nearly $580 million in a new plant in Edgecombe County, N.C. The passenger tire plant will be the first U.S. facility for the company. The project will create about 800 jobs.
Tristone Flowtech USA plans North Carolina manufacturing plant
Tristone Flowtech USA, a subsidiary of a German automotive supplier, will invest $23.6 million to locate its first manufacturing facility in the United States in Mooresville, N.C. The company plans to create 302 jobs in Iredell County to provide engine and battery cooling systems for the automotive industry.
North Carolina megasite now at 1,900 acres
The Randolph County, N.C., megasite that reportedly came in second in the Toyota-Mazda site search has added about 140 acres. The Greensboro-Randolph Megasite Foundation now owns roughly 1,900 acres.
BMW’s South Carolina plant is top exporter
For the fourth consecutive year, the BMW plant in Spartanburg County, S.C., was the nation’s No. 1 automotive exporter based on value in 2017. In calendar year 2017, BMW exported 272,346 vehicles, most of which were shipped through the Port of Charleston. The vehicle exports were valued at $8.76 billion.
Magna Seating planning $8 million expansion
A BMW supplier that recently opened in Spartanburg County is already planning to expand. Magna Seating has asked the county for $120,000 in additional infrastructure credits for an $8 million expansion that would create 130 full-time jobs. The revised fee-in-lieu-of-taxes agreement would grant Magna a total of $810,000 in special source revenue credits through 2020, with a total planned investment of $37 million and the creation of 610 jobs.
Automotive supplier to create 150 new jobs in Upstate
Grupo Antolin, a designer and manufacturer of components for the automotive industry, said it plans to establish three facilities in Spartanburg County, S.C. The $50 million investment is expected to create more than 150 jobs over the course of five years.
Bosch growing Upstate South Carolina plant
Bosch Group, a maker of automotive electric components, is investing $152 million in its plant in Anderson County, S.C. The project will create 130 new jobs.
Looks like Volkswagen electric vehicle’s future is in Chattanooga
While no official announcement has been made, it looks like VW will build electric vehicles at its plant in Chattanooga, Tenn. The German automaker has started advertising on social media sites such as LinkedIn for specialized positions in Chattanooga to support electric vehicle production and design. Reports say that VW will build four electric vehicles at its only U.S. plant.
Bridgestone unveils its new 30-story headquarters tower in Nashville
The new North American headquarters for Bridgestone was unveiled in the winter quarter in downtown Nashville. The $200 million tower is the fifth largest office tower in Nashville. The building houses 1,900 employees, some of which have relocated from Chicago and Indianapolis. Two floors are empty to allow for future growth. Gordon Knapp, CEO of Bridgestone Americas, said at the ribbon cutting, “We look forward to calling Nashville home for the next 50 years.”
Nissan launches new LEAF in Tennessee
Nissan launched production of its new electric LEAF model in the winter quarter at its plant in Smyrna, Tenn. The new model is a milestone for the 30-year-old plant that houses 8,400 workers who assemble almost 650,000 vehicles a year.
Denso invests $190 million, adds 320 jobs in Athens, Tenn.
Auto supplier Denso is expanding its operations in North America through a $190 million investment in its Athens, Tenn., facility. The investment will add four new production lines and 320 jobs. In September, Denso announced a $1 billion investment in its Maryville, Tenn., facility, creating 1,000 jobs focused on electrification and safety systems.
Auto supplier adding jobs in Tennessee
Topre America is expanding its Smyrna, Tenn., facilities. The company provides automotive stamping and car body structures for Nissan, Toyota and Honda. The Japanese company is investing $37.8 million in the plant and adding 50 jobs.
Toyota Boshoku expands in Jackson, Tenn.
Toyota Boshoku, a manufacturer of premium automotive interior systems, will invest $31 million in its plant in Jackson, Tenn. The company will add 143,000 additional square feet of space in the expansion, which will also add 139 jobs.
Electric hybrid technology company moving to Texas Hill Country
Hyliion, a company that designs intelligent electric hybrid technology for the trucking industry, is building a new 80,000-square-foot headquarters in Cedar Park, Texas. The new headquarters will create 200 jobs.
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