LG Electronics announces plans to establish a $25 million factory for advanced electric-vehicle components in the Detroit suburb of Hazel Park, MI.
The 250,000-sq.-ft. (23,225 sq.-m) facility will produce EV components starting in 2018. The project will create at least 292 new Michigan jobs, including factory workers in Hazel Park and engineers at the expanded LG R&D Center in Troy, MI.
The project is supported by a $2.9 million capital grant under the Michigan Economic Development Corp.’s Michigan Business Development Program over the next four years. LG also will receive hiring and training assistance from the state, including MI Works support in cooperation with local community colleges, and from the cities of Hazel Park and Troy.
“When leading global companies like LG invest in Michigan and create hundreds of good, high-paying jobs here, it speaks volumes about the strong business and mobility climate in the state today," Gov. Rick Snyder says in a news release. “LG's great technological advancements and our outstanding workforce will help pave the way for the vehicles of the future right here in Michigan.”
Ken Chang, senior vice president-LG Electronics USA and head of the LG Vehicle Components North American Business Center, adds, “LG’s initiative to develop and produce world-class EV components in the United States represents a key pillar of our strategy to be the best technology partner to U.S. automakers.”
Vehicle components represent LG Electronics’ fastest-growing business, the company says. LG’s first-half 2017 global revenues for vehicle components exceeded $1.5 billion, a 43% increase from the same period last year, thanks in large part to its successful collaboration with General Motors on the Chevrolet Bolt EV. LG Electronics has been honored by GM as a global supplier of the year and received the 2017 GM Innovation Award.
LG Electronics is a global leader and technology innovator in home appliances, consumer electronics, mobile communications and vehicle components, employing 75,000 people working in 118 locations around the world. Global sales in 2016 totaled $47.9 billion.
