Michigan Governor Jennifer M. Granholm on February 13 announced that Visteon Corporation, through a wholly owned subsidiary, will invest $35 million to build a state-of-the-art manufacturing plant in Highland Park. Assistance offered through the Michigan Economic Development Corporation (MEDC) convinced Visteon to opt for Highland Park over a competing site in another state. The project will result in the creation of 353 new jobs, including 175 directly by the company.
“Visteon is a great example of the type of advanced manufacturing growth we are targeting with our economic plan to diversify the economy,” Granholm said. “The company’s investment in Highland Park will bring good-paying jobs to the community and strengthen Michigan’s position as the global leader in automotive research and development.”Visteon is a leading global supplier of automotive systems, modules and components to global vehicle manufacturers. The new plant will function as a center of excellence, making use of state-of-the-art technologies and Visteon proprietary processes to manufacture interior components for the auto industry. The facility will serve as a regional manufacturing facility, providing parts to sequencing centers in Michigan and other states that serve manufacturing plants in the Midwest. Visteon has corporate offices and an innovation center in Van Buren Township, Wayne County.
“Securing this project for Highland Park was truly a collaborative effort,” MEDC president and CEO James C. Epolito said. “A competitive incentive package and the strength of Michigan’s workforce helped make the best business case for the state.”
The MEDC approved a Single Business Tax credit valued at $1.73 million over seven years to win the project. The city of Highland Park has proposed local tax abatements worth an estimated $4.5 million over seven years to support the project.
“Our significant business growth requires us to add strategic manufacturing capacity through a customer-focused facility – and we’re pleased to have the opportunity to create new jobs in Michigan,” Visteon chairman and CEO Michael F. Johnston said. “This project demonstrates the confidence our customers are placing in Visteon to meet their extremely high quality, delivery and cost requirements.”
Economic analysis conducted by the MEDC estimates that increased economic activity created by the expansions will generate an additional 178 indirect Michigan jobs, in addition to the 175 initially created directly by the company. The project is expected to generate more than $151 million in personal income for Michigan workers over the life of the tax credit.
The new location is one of five economic development projects announced by the governor on February 13. In all, they are expected to create a total 1,044 Michigan jobs.
"We are excited and delighted at the prospect of having a major corporation such as Visteon opening a new facility in our community," Highland Park emergency financial manager Arthur Blackwell said. "It means more job opportunity and revenue which is sorely needed in the city. We are also extremely grateful for the assistance of the state in this project."
In her 2007 State of the State address, Granholm emphasized the importance of making Michigan a global economic powerhouse in the 21st century. Since January 2005, the governor and the MEDC have announced the creation or retention of more than 167,000 jobs as a result of targeted assistance provided by the MEDC.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information on the Michigan Economic Development Corporation’s initiatives and programs, visit the Web site at www.michigan.org.
