American Axle & Manufacturing Inc., a global Tier 1 supplier that designs, engineers, manufactures driveline and metal forming technologies, plans to invest $38.6 million at its facility in Three Rivers, Michigan. The project is expected to create 100 new jobs.
Without assistance from the state, the company said it would have instead moved forward with the project at its Guanajuato, Mexico, facility, where it had sufficient space already available and would have saved on labor costs, according to a memorandum issued by the Michigan Economic Development Corporation.
“Through today’s significant investments and initiatives, we are reminding the world that the ingenuity and innovation of Michigan’s people and businesses remains unmatched,” noted Governor Gretchen Whitmer.
As an incentive, Michigan Strategic Fund today approved a five-year SESA Exemption valued at up to $468,888 for the company’s $40,608,000 Eligible Investment in Eligible Personal Property in support of the project.
In addition, the city of Three Rivers was awarded $2 million in Community Development Block Grant funds to assist with adding necessary machinery and equipment at the project. At least 51% of the 100 positions will be filled by low to moderate income persons.
“American Axle has been a long-time partner to the state of Michigan, and today’s announcement further cements Michigan as the ideal place for businesses to grow and attract new talent,” said Josh Hundt, executive vice president and chief business development officer for the MEDC.
The company, which has 16 facilities across the state and 80 spread throughout 17 countries worldwide, was founded in 1994 and is headquartered in Detroit. Its largest Michigan facility is in Three Rivers and employs about 1,000. The company employs more than 3,200 people in Michigan.