Consultants Forum Advertise
Subscribe
Close

  • Free for qualified executives and consultants to industry

  • Receive quarterly issues of Area Development Magazine and special market report and directory issues

Subscribe Now
Renew

Area Development - Site Selection, Facility Planning and Workforce Development

Flex-N-Gate To Open Manufacturing Plant On Detroit, Michigan’s Eastside

05/26/2016
Flex-N-Gate will invest $95 million to construct and equip a facility on a vacant parcel in eastside Detroit, Michigan. The facility will supply parts to Ford Motor Company.

The company is a top global auto supplier of exterior trim components, aluminum and steel modular stamped body in white and chassis assemblies, lighting and other OEM automotive products.

According to company officials, “potential additional investment in the project could push the project to at least $100 million.” Flex-N-Gate Owner Shahid Khan said the project could create at least 400 and up to 650 new jobs in Detroit’s I-94 Industrial Park, over the next three years, and at full capacity up to 750 total jobs could be added.

The project recently received two critical approvals. The Michigan Strategic Fund board approved a $3.5-million Business Development Program grant to incentivize the Urbana, Illinois-based auto supplier to expand its Michigan operations. In addition, the Michigan Economic Development Corporation of the City of Detroit approved the sale of 30 acres in the industrial park to Flex-N-Gate. The sale is the initial step in building the automotive parts manufacturing plant on the site.

"Our news today from Detroit is further evidence that the United States auto industry is strong, promising and experiencing exceptional growth," said Khan. "Building a new plant from the ground up within the Detroit city limits will be a milestone moment for Flex-N-Gate, made possible thanks to our partnership and collaboration with Ford, the City of Detroit and the State of Michigan.

"We couldn't do this alone," said Khan. "Their collective support and vision to convert a neglected urban area into a manufacturing center that will create hundreds of new, sustainable and well-paying jobs here in Detroit has been nothing short of spectacular. We are grateful and looking forward to seeing this project become a reality."

"We're proud that Flex-N-Gate is investing in Detroit, and in the people of Detroit," Governor Rick Snyder said. "Detroit's resurgence is an important part of the Michigan comeback. Companies around the world recognize that our state is the global leader in automotive, and with good reason. We have a talented workforce that is passionate about keeping our state at the center of the industry for generations to come."

"Nothing is more important to our city than creating jobs for Detroiters," said Mayor Mike Duggan. "The fact that Flex-N-Gate has committed to such a strong local hiring and contracting plan shows the company's deep level of commitment to being a partner with the community."

"We are proud to work with Flex-N-Gate, the City of Detroit and State of Michigan, to bring good paying jobs to the city. We value our relationships with suppliers, and appreciate the commitment Flex-N-Gate has made to Ford Motor Company and the local area," said Hau Thai-Tang, Ford group vice president, global purchasing.

The 189-acre I-94 Industrial Park is under control of MEDC. Since 2000, EDC has overseen the property acquisition, clean up and development of the land. Designation of a Renaissance Zone for Flex-N-Gate is expected to be addressed at the August meeting of the Michigan Strategic Fund board.

"The expansion of Flex-N-Gate's presence in Michigan demonstrates the broad range of productive possibilities for private investors and job creators when local and state economic development teams work with one of the state's bedrock automotive companies and a privately owned auto supplier," said MEDC CEO Steve Arwood.

Exclusive Research