KY: Dr. Schneider Automotive Systems Opens $29M Plant, Creating 155 Jobs

17 Apr, 2014

Governor Steve Beshear joined company officials and local leaders to celebrate the opening of Dr. Schneider Automotive Systems Inc. in Russell Springs.

The Germany-based automotive supplier cut the ribbon on its $29 million parts manufacturing operation. The plant will create 155 full-time jobs.

“This is an exciting day for Dr. Schneider Automotive Systems and Kentucky’s thriving auto industry,” said Gov. Beshear. “Since announcing this project last year, Dr. Schneider has become greatly involved in the community and invested in our workforce. I’m honored to participate in today’s opening celebration and I look forward to seeing these Kentucky-made products around the world.”

Dr. Schneider Automotive Systems began renovating the former Hitachi Cable building in Russell Springs in the fall of 2013. The 64,000-square-foot plant will manufacture parts for companies such as Ford, BMW, Mercedes, Audi and more.

“Dr. Schneider Automotive Systems Inc. is very proud to be part of the Russell Springs community,” said Torsten Langguth, Dr. Schneider Automotive Systems’ plant manager. “We are also very happy to announce that we successfully started production only three months after starting the hiring process. We found great employees and we are in the process of building a great team. This will be the foundation for a perfect future of Dr. Schneider here in Kentucky. The business prospects are more than encouraging, and we believe there will be great growth opportunities for our company here in Russell County.”

An 85-year-old family enterprise, Dr. Schneider Automotive Systems is a pioneer in the processing of plastics and produces high-end vent and trim systems for top automotive original equipment manufacturers around the world.

Kentucky has experienced tremendous success in foreign direct investment growth. Last year, nearly 40 percent of all capital investment and more than 30 percent of new jobs announced in the manufacturing, service and technology sector were a result of foreign-owned companies.

Dr. Schneider Automotive Systems’ investment also further strengthens Kentucky’s auto industry, which boasts more than 460 motor vehicle-related facilities across the state, employing 82,000 people. Kentucky ranks third in light vehicle production in the United States and first on a per capita basis. The Commonwealth’s motor vehicle exports reached a record $5.5 billion in 2013.

To encourage the investment and job creation in Russell Springs, the Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives up to $4 million through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets. 

“It’s great to see this many jobs coming to the Lake Cumberland region,” said Sen. Chris Girdler, of Somerset. “I’ve thoroughly enjoyed working with the company representatives, and I appreciate the investment Dr. Schneider Automotive Systems is making in our community and our people.”

“I appreciate Dr. Schneider’s investment in the community and their decision to locate a plant in Russell Springs,” said Sen. Sara Beth Gregory, of Monticello. “The opening of this new plant is welcome news that couldn't have come at a better time. I know the company will not be disappointed with the quality of the workforce in this region.”

“I’m pleased that Russell County has joined others across our Commonwealth as we strengthen Kentucky as a world leader in the automotive manufacturing industry,” said Rep. Jeff Hoover, of Jamestown. “The decision by Dr. Schneider Automotive Systems to locate in Russell County is an acknowledgement of the high quality workforce our community offers, and I hope it opens the door for other industries to set up shop in our county and region. We welcome them to our community and look forward to a long, prosperous relationship.”

“We are pleased to celebrate the grand opening of our latest global manufacturing

company to our city and would like to welcome Dr. Schneider Automotive Systems Inc. to Russell Springs,” said Russell Springs Mayor Eric Selby. “We are fortunate that a global manufacturing company like Dr. Schneider has located here, and we are very excited to be a part of this grand opening. We look forward to the contribution that this global company will have to our local economy.

“We look forward to working with Dr. Schneider Automotive Systems here in Russell County, and appreciate the amount of capital investment that they are contributing to our local economy,” said Russell County Judge-Executive Gary Robertson.

“The City of Jamestown welcomes Dr. Schneider Automotive Systems to our community and is grateful to them for their contribution to greater economic development here in Russell County,” said Jamestown Mayor Terry Lawless. “We look forward to a long and successful partnership with them.”

For more information on Dr. Schneider Automotive Systems, visit

Russell County also has been certified by the Kentucky Workforce Investment Board as a Work Ready in Progress Community. The certification is an assurance to business and industry that the community is committed to providing the highly skilled workforce required in today's competitive global economy.

Information on Kentucky’s economic development efforts and programs is available at Fans of the Cabinet for Economic Development can also join the discussion on Facebook or follow on Twitter. Watch the Cabinet’s “This is My Kentucky” video on YouTube.

A detailed community profile for Russell Springs (Russell County) can be viewed here.