MSF Provides Grants to New Businesses Adient and ArcelorMittal

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Two new projects which will attract private investment of $215.3 million and bring 265 jobs to Detroit were approved last month by the Michigan Strategic Fund (MSF) board.

Adient, the world’s largest automotive seating supplier, will locate its operational headquarters in the Marquette Building in downtown Detroit while ArcelorMittal Tailored Blanks Americas Corporation, one of the leading steel producers in the world, will establish a new manufacturing center in the recently established industrial park near I-94.

“These projects reflect each private companies’ long-term commitment to the economic viability of Detroit,” said Steve Arwood, chief executive officer at the Michigan Economic Development Corporation (MEDC), the state’s business attraction arm that administers programs and conducts due diligence on incentive agreements with private companies.

“Adient and ArcelorMittal coming to Detroit further strengthens our city’s standing as the automotive capital of the world,” said Rodrick T. Miller, president and CEO, DEGC.

Adient recently announced it acquired the 10-story, 164,000 sq. ft. Marquette Building at 243 West Congress for its global headquarters. The Fortune 200 automotive supplier will be the first Fortune 500 company to establish a headquarters presence in Michigan since 2003.

Earlier this year, Adient became a publicly traded company when it spun off from Johnson Controls Inc. Since late October, the company has been listed on the New York Stock Exchange. In wooing Adient in a competition with the city of Milwaukee, which is home to Johnson Controls, the MEDC negotiated a $2 million Michigan Business Development Program performance-based grant. In return, Adient committed to a $97.8 private investment and the creation of 115 jobs.

ArcelorMittal Tailored Blanks is in the industrial park near I-94 that includes Flex-N-Gate, a key site to the state’s automotive industry resurgence. With the support in May of a state grant, Flex-N-Gate will invest $95 million to manufacture exterior trim components along with aluminum and steel modular stamped body chassis assemblies, among other products.

ArcelorMittal receives a $2 million Michigan Business Development Program performance grant for a project that will create a minimum of 120 jobs over five years, and a capital investment of $83.5 million.

 

Peter H. Chapman
Executive Vice President for Business Development