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Gov. Rick Snyder: YFS Automotive Systems investing $26.9 million in new manufacturing operations in Detroit, 160 new jobs

Chinese auto supplier chooses Detroit for second U.S. manufacturing facility

Tuesday, July 28, 2015

LANSING, Mich. – YFS Automotive Systems, Inc. is expanding its U.S. manufacturing footprint and creating 160 new jobs in Detroit, investing $26.9 million in a new facility to design, test, and manufacture automotive fuel system components.

The company will receive a Michigan Business Development Program performance-based grant through the Michigan Strategic Fund, approved on Tuesday.

“YFS locating in Detroit is a reaffirmation of Michigan’s competitive business climate,” said Gov. Rick Snyder, who met with YFS during his 2014 investment mission to China. “Our strong economy combined with our top talent makes investing in Michigan ideal for local and international businesses to locate and thrive.”

The Michigan Strategic Fund approved the $1.3-million MBDP incentive to bring the project to Michigan rather than Ohio. The move was announced Tuesday by the Michigan Economic Development Corporation.

“Strong collaboration between the MEDC, the Detroit Regional Chamber and the DEGC/City of Detroit proved to be vital in attracting a global manufacturer like YFS,” MEDC Chief Executive Officer Steve Arwood said. “This company could have chosen any number of places in the U.S. to invest and grow and the fact that they chose Michigan is a testament to our growing economy and outstanding workforce.”

YFS Automotive Systems is a Tier 1 supplier of fuel tanks and urea systems for automotive OEMs. The company was established in 1997 as ABC Group Fuel Systems, Inc. and was purchased in 2014 by the Rongshi International, a Chinese-owned automotive supplier. The company plans to acquire approximately 30 acres of vacant industrial property in Detroit to construct a 150,000 square-foot manufacturing facility.

“We are very excited to expand our operations to Detroit and play a role in the revival of Detroit by providing jobs for the people of the area.  Being in Detroit will allow us to pass on savings to our customers, optimize our product foot print and provide capacity for growth,” said Marius Sipos, President, YFS.

The project will generate a total capital investment of nearly $26.9 million and create 160 jobs.  The city of Detroit has offered support to the project in the form of property tax abatement.

“This is an important step for YFS and Detroit. Manufacturing investments can provide good opportunities for Detroiters, and Detroit has great potential for attracting more investments and creating even more jobs in the future,” said Detroit Mayor Mike Duggan.

In addition to the support from Michigan Strategic Fund and city of Detroit, YFS is also requesting assistance from Detroit Employment Solutions Corporation (DESC) to help it develop its workforce.

“This significant investment by a Chinese manufacturer underscores Detroit's global advantage as a hub of automotive research, design, and assembly," said Rodrick T. Miller, CEO of Detroit Economic Growth Corporation. 

For more on the MEDC and its initiatives, visit For Michigan travel news, updates and information, visit Michigan residents interested in seeking employment with any of Michigan’s growing companies should check, where more than 95,000 jobs are currently available in a variety of industries.