Governor Kay Ivey announced today that ILJIN, a leading automotive and industrial bearings and chassis manufacturer, is investing nearly $100 million in a new operation in Auburn.
The company’s new facility will employ about 160 people and will allow ILJIN to expand into the aluminum forging market.
“ILJIN’s decision to locate its next facility in Auburn is great news for Alabama,” Governor Ivey said. “Alabama is already the fifth largest vehicle producer in the U.S., and it’s wonderful to see how we are continuing to expand and deepen our automotive supplier base, creating lasting jobs throughout Alabama.”
ILJIN supplies control arms, stabilizer links, ball joints and other components to major auto manufacturers.
While many of ILJIN’s competitors in the automotive industry have made investments outside of the U.S., ILJIN Chairman DS Lee said the company has benefitted from keeping its production in the Southeast.
“We have found the U.S., and in particular the state of Alabama, to be the most productive, the most competitive and the highest yielding of all our recent investments,” Lee said.
ILJIN has long used steel forging in its manufacturing processes. The new Auburn facility will expand the company’s capabilities, allowing it to begin producing forged aluminum control arms for several U.S. customers.
This transition to aluminum will produce stronger and lighter components that result in safer, more reliable and more fuel-efficient vehicles.
“By combining our in-house forging capabilities with world-class technology, we’ll be able to produce the highest quality and lowest cost aluminum forgings for our customers,” said John Dix, president of ILJIN USA.
Expanding footprint
ILJIN is setting up its new Auburn facility to further increase the U.S.-made content of the company’s products made for the North American market. The raw forgings will be sent to ILJIN’s Greer, South Carolina, facility for final processing.
“ILJIN first partnered with the state of Alabama 15 years ago when it opened its first North American wheel bearing facility in Phenix City,” said Ellen McNair, Secretary of the Alabama Department of Commerce.
“This is yet another success story that shows Alabama has all the ingredients for manufacturing companies to thrive in our great state,” she added.
ILJIN will establish its new operation in an existing building in Auburn Technology Park North.
“Auburn has proven itself to be the ideal location of our company’s expansion here in America,” ILJIN SC President Dongsoo Um said. “Thanks to the City of Auburn’s help, we were able to meet the tight deadlines for this project and will be able to provide our customers with the products they need.”
Founded in 1973, ILJIN is a global manufacturer of bearings and chassis components serving rail, automotive and industrial markets. Its focus on highest quality and lowest cost has made ILJIN as the world’s largest GEN3 wheel bearing maker.
“We’re extremely grateful for the trust and investment by ILJIN in our community and the support of and partnership with the state of Alabama,” Auburn Mayor Ron Anders said. “We will continue to support and partner with ILJIN to ensure the company’s success here in Auburn.
“Thanks to our close collaboration with Auburn University and Southern Union State Community College, I am confident that ILJIN will find the talent it needs to run a sophisticated operation in our community,” he added.
This story originally appeared on the Alabama Department of Commerce’s Made in Alabama website.
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