French-based auto parts manufacturer Faurecia SA and The Rush Group formed Detroit Manufacturing Systems to produce automotive interior components at a manufacturing plant in Detroit, Michigan that is expected to employ about 500 workers.
Detroit Manufacturing Systems' manufacturing and assembly operations will be based in the Gateway Industrial Center at 12601 Southfield Freeway in Detroit. DMS will manufacture cockpit interior parts for the Ford Motor Company.
"Detroit Manufacturing Systems is a natural result of our experience in the automotive industry and having the relationships and alignment among our customers, the City of Detroit, Faurecia, the United Auto Workers and other partners to develop sustainable businesses that create opportunity in underserved communities," said Andra Rush, Rush Group founder, president and chief executive officer.
"We are incredibly fortunate to have found a partner in Faurecia and our customer Ford Motor Company who are committed to the mission of collaborating and developing 'win-win-win' business models that lead to innovation and long-term successful relationships.
"The creation of the Detroit Manufacturing Systems joint venture is a significant milestone for Faurecia, Rush Group and the people of Detroit," said Mike Heneka, Faurecia North America President. "We look forward to integrating our efforts with those of Rush Group to advance interior systems technology and style for the new generation of Ford vehicles and to bring new opportunities and manufacturing infrastructure to the city of Detroit."
"This announcement marks a major development in our journey to develop a financially healthy, diverse supply base," said Tony Brown, group vice president, Ford Global Purchasing.
In a package of incentives, DMS received support from the Michigan Economic Development Corporation in the form of state tax abatements based on job creation, as well as site evaluation and selection support from the Detroit Economic Growth Corporation.
Faurecia will also acquire Ford/ACH automotive interiors, based in Saline, Michigan, which generates $1.1 billion annual sales supplying cockpit modules, instrument panels, door panels and center consoles.
"We see this acquisition and joint venture providing tremendous opportunities for Faurecia, Ford, employees, local communities and other key stakeholders," said Heneka. "As we transform the Saline business and help launch a new plant in Detroit, we will foster a collaborative working environment, strengthen our relationship with Ford and invest in these communities."