March 14, 2007
March 14, 2007
Governor's meetings with Magna Steyr, DCX, GERTAG encourage more growth in Michigan
LANSING - Governor Jennifer M. Granholm today continued her investment mission in Austria where she met with executives from AVL Powertrain Engineering Inc. and Magna Steyr to encourage the companies to locate potential expansion projects in Michigan. Following her meeting with AVL, Granholm said she expects the company to accelerate the hiring of 125 workers for its new technology center in Ann Arbor and expand its operations with an additional 80 workers.
Granholm also met with officials from DaimlerChrysler and GETRAG yesterday to encourage the companies to expand their presence in Michigan, including DaimlerChrysler's planned $3 billion investment in its powertrain operations. Throughout the investment mission, the governor has been joined by Michigan Economic Development Corporation (MEDC) president and CEO James C. Epolito.
"I am going anywhere and doing anything to create jobs in Michigan and pitch our state as the right place in North America for companies to invest and grow," Granholm said. "AVL, a cutting edge company bringing together auto engineering and psychology, is choosing Michigan to invest and grow - evidence our plan in beginning to pay dividends. Every company we've met with during this mission has taken note of our aggressive economic plan, our business-friendly climate, and our outstanding workforce."
Last July, Granholm announced AVL Powertrain Engineering Inc. would invest $2.9 million in a new engineering technical center in Plymouth Township and create 125 new high-tech jobs. Assistance offered through the MEDC helped convince the company to choose Michigan over other national and international sites.
On Tuesday, Granholm and Epolito announced three Germany-based firms, FACTON Inc., Kostal of America, and MBtech Autodie, will expand operations in Michigan as a result of assistance from the MEDC. The projects are expected to create and retain more than 700 jobs and involve a total of $20 million in capital investment.
Each of the companies chose Michigan over competing states and countries, including North Carolina and Canada. Granholm and Epolito used the meetings in Germany to "seal the deal" with company executives and press for continued investment in Michigan.
"Not only have we secured new jobs for Michigan during this mission, we have laid the groundwork for future investment and jobs in our state," Epolito said. "Michigan is definitely on the radar of those companies looking to grow their overseas operations."
More than 170,000 Michiganians are employed by more than 300 German-owned companies that operate in the state. German-owned companies are defined as those with at least 50 percent German ownership. These companies, representing a wide range of industry sectors, are heavily concentrated in advanced automotive manufacturing and research and development, sectors well known for producing high-wage jobs.
During her tenure as governor, Granholm has welcomed a number of significant German company investments to the state, including major new developments by AVL, Behr America, Bosch, DaimlerChrysler, Eberspacher, FEV, Karmann, Mahle and Söhnergroup GRW Technologies. MEDC assistance has lead to many of the new facilities and expansions being won by Michigan in head-to-head competition with other states and countries.
Granholm's previous investment missions to Germany and Japan have resulted in more than $282 million in new investments and more than 1,600 new jobs.
Following the governor's two missions to Japan in 2005 and 2006, a total of 22 companies stated their intentions to expand in Michigan for a total investment of $200 million and over 1,000 new jobs. Her investment mission to Germany in 2004 resulted in several companies investing approximately $82 million and creating more than 670 new Michigan jobs over the next several years.
