Michigan Adding Jobs Through Expansion by Auto Components Manufacturers

Michigan Adding Jobs Through Expansion by Auto Components Manufacturers

State is providing incentives through tax abatement and other incentives programs

Earlier this week valve train components manufacturer, Bleistahl North America LP, a subsidiary of Bleistahl Ltd., announced it will add 58 new jobs to centralize its North American production in Battle Creek, Michigan. The company, formed in 2001, will invest $11.5 million to open a new plant. The company will receive a $475,000 Michigan Business Development performance-based grant while the city of Battle Creek is offering 12-year property tax abatements valued at $532,000.  

Kay Manufacturing Co., which is based in Calumet City, Ill., will expand into a facility in St. Joseph Carter Township, adding 80 jobs. The company provides precision machining services of forged material to domestic automotive subassemblies on a production basis. The company will invest $9.3 million. As a result of the expansion, Kay Manufacturing has been awarded a $350,000 Michigan Business Development Program incentive. In addition, St. Joseph Township is expected to approve a 12-year tax abatement valued at $321,000.  

Rassini Brakes, LLC, headquartered in Mexico, a supplier of rotor components plans to open a new facility in Mt. Morris Charter Township for machining automotive products for delivery to OEM assembly plants in the Midwest. The company will invest up to $17.3 million and create 55 new jobs, resulting in a $500,000 Michigan Development performance-based grant.

All of the companies received some type of incentives from the Michigan Business Development and Community Revitalization which was signed into law by Governor Rick Snyder in December of 2011. The program provides grants, loans and other economic assistance to qualified businesses that make investments or create jobs in Michigan, with preference given to businesses that need additional assistance for deal-closing and for second stage gap financing.   

Other assistance is offered in the form of the The Michigan Community Revitalization Program which provides economic assistance of up to $10 million to projects that will revitalize regional urban areas, act as a catalyst for additional investment in a community, reuse vacant or historic buildings and promote mixed use and sustainable development.  

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