The Alabama Department of Commerce revealed that the state’s automotive industry is continuing its rapid growth in 2017. In a statement released on July 24, the department announced that 2016 added 3,848 jobs and $907.1 million in new capital investment. This year, the industry is on track to add thousands of new jobs and push capital past $1 billion.
The expanding industry will include new projects and operations that will manufacture everything from entire automobiles to their component parts. In the news release, the Secretary of the Alabama Department of Commerce Greg Canfield noted:
“Our deep roots in the auto industry keep growing deeper. Last year alone, there were new or expanding auto companies in 26 Alabama counties, showing the vast reach of auto production in Alabama.”
2016 saw Mercedes-Benz, Honda, Hyundai, and Toyota all contribute to the growing industry. Hyundai invested $52 million to upgrade its plant in Montgomery. Through this investment, they were able to bring production of the Santa Fe SUV back to their assembly lines. The Lear Operation Corp., which supplies the Mercedes-Benz plant in Vance, expanded their operation to create 535 new jobs. Moller Tech USA and Eissmann Automotive North America also contributed millions of dollars and hundreds of jobs to the industry.
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Capitalizing on last year’s momentum, 2017 has brought many new auto sector projects to Alabama and has set the stage for more tremendous growth. Hanwha Advanced Materials America LLC plans to invest $20 million and create 100 new jobs at its manufacturing facility in Opelika. In an effort to improve efficiency and prepare for future projects, Honda plans to invest $85 million in its Lincoln plant. Grupo Antolin, a Spain-based supplier, also plans to build a $10.4 million facility in Jefferson County that will employ 150 people in 3 years.
After 20 years, Alabama’s auto industry continues to prove that it is one of the best in the country. The manufacturing jobs created have contributed to the steady decline in the state’s unemployment rate over the past year. Jason Hoff, CEO of Alabama Operations for Mercedes-Benz, put it best when he said, “Our suppliers have found – just as we have – that Alabama is a great place to do business.”
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