Germany-based KSM Castings USA is expanding its operations in Cleveland County, creating 80 new jobs during the coming five years. The German manufacturer of automotive components will invest $80 million at its facility in Shelby, North Carolina.
KSM Castings USA is a unit of the KSM Castings Group, a leading producer of automotive lightweight components for chassis, transmissions, engines and steering. The firm arrived in North Carolina in 2013 as the growth of its U.S. customer base led to the establishment of a 120,000-square-foot facility in Shelby. In addition to KSM’s state-of-the-art facility in Cleveland County, the firm operates seven production plants in Germany, China and the Czech Republic with a total of 3,300 employees. KSM is owned by CITIC Dicastal Co. Ltd.
The company credits first-class employees as its foundation. KSM plans to hire production workers, machine operators, pourers and casters among other employees for the expansion. Salaries will vary by job, but the average compensation will be $42,300 per year. Cleveland County’s overall annual wage currently averages $35,885.
“With the expansion of this site we will continue our strategy to be on site, offer different production processes for our customers and supply the local markets,” explained Franz Friedrich Butz, CEO of the KSM Castings Group.
The company’s expansion in North Carolina was made possible in part by a performance-based grant of up to $320,000 from the One North Carolina Fund. The One NC Fund provides financial assistance to support efforts by local governments to create jobs and attract economic investment. Companies receive no money upfront and must meet job creation and capital investment targets to qualify for grant payments. All One NC grants require a financial commitment from county or municipal governments.
“KSM’s rapid growth in Cleveland County underscores the continued success of automotive components manufacturing across North Carolina,” said Governor McCrory. “The expansion by this major automotive supplier keeps that momentum going.”
Joining NC Commerce and EDPNC in helping facilitate KSM’s expansion is the North Carolina General Assembly, NCWorks, the North Carolina Community College System, Cleveland County, the City of Shelby and the Cleveland County Economic Development Partnership.