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Area Development - Site Selection, Facility Planning and Workforce Development

Australia-Based Fortescue Establishes Detroit, Michigan, Operations

01/25/2024
Australia-based Fortescue, a provider of zero emission resources for the production of renewable energy, plans to establish its U.S. Advanced Manufacturing Center in Detroit, Michigan. The $35 million project is expected to create up to 600 jobs.

The investment will include the rehabilitation of an existing facility on Piquette Avenue which will become a major hub for the production of automotive and heavy industry batteries, hydrogen generators, fast chargers, and electrolyzers. Production is scheduled to begin in the first half of 2025.

“Fortescue’s Advanced Manufacturing Center will breathe fresh life into the birthplace of the automotive industry,” said Fortescue Energy CEO Mark Hutchinson. “We are committed to investing in the next generation of green manufacturing projects that will help decarbonize business and heavy industry, and in turn create a strong future for manufacturing jobs in the United States.”

The project is being supported by a $9 million Michigan Business Development Program performance-based grant; A 15-year, 100 percent State Essential Services Assessment exemption valued at $1,300,950; State tax capture valued at $2,374,413 for the reimbursement of brownfield activities at the site.In addition, the project is requesting $5,247,422 in TIF from the Michigan Department of Environment, Great Lakes and Energy to assist with environmentally eligible activities.

“As a leader in green technology, clean energy and advanced manufacturing, we are thrilled that Fortescue has chosen Michigan as the site of its new U.S. Advanced Manufacturing Center,” noted Michigan Economic Development Corporation (MEDC) CEO and President and Chair of the MSF Quentin L. Messer, Jr. “After a competitive process, Fortescue’s decision is another proof point that ‘Make It In Michigan,’ focused on People, Places and Projects, is delivering results. We are proud that the city of Detroit will be home to cleantech innovation in the electrification of mobility and the development of a greener future for our nation and the globe.”

The City of Detroit Brownfield Redevelopment Authority is supporting the project through the local portion of the brownfield work plan valued at $4,246,411, and the city has offered an Industrial Facilities Tax abatement valued at up to $7,684,208.

“It’s no coincidence that the world is looking to Detroit and Michigan to provide the path to a carbon-free, clean-energy future,” added Maureen Donohue Krauss, president and CEO of the Detroit Regional Partnership (DRP). “Major global players like Fortescue continue to recognize our mobility ecosystem as the premier place to develop and scale cutting-edge advanced mobility and clean energy technology. We applaud the MEDC, DTE Energy, DEGC, and the numerous partners who helped bring this major investment to our region.”

Fortescue through Fortescue WAE develops and manufactures batteries and zero emission powertrains for a wide range of applications, including motorsports, mining haul trucks, and other off-road and automotive applications.

“We're excited to welcome Fortescue to Detroit,” said Detroit Economic Growth Corporation President and CEO Kevin Johnson. “This investment is a perfect match for our mission – it’ll turn an empty facility into a center for clean energy innovation and create hundreds of green manufacturing jobs. The DEGC looks forward to collaborating on workforce training programs that open career pathways for Detroit residents. We thank Fortescue for helping to propel Detroit as a global leader in electrification and clean energy.”

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