MI: Chinese Co., CW Bearings, to Invest $26M, Hire 125
3 Sep, 2015
A Chinese bearing manufacturer will invest nearly $26 million to establish a new U.S. headquarters and technical center in Northville Township, creating 125 jobs, Gov. Rick Snyder said Monday after returning from an eight-day investment mission to China.
Snyder met with leaders of CW Bearings, USA, Inc. in Shanghai on Saturday before his return to Michigan. It was the final meeting in a week that included sessions with government leaders, businesses and journalists to expand export markets for Michigan-made goods, increase investment in businesses located in the state and promote Michigan as a tourism destination – all of which will create more and better jobs.
“CW Bearing’s decision to locate its U.S. headquarters in Southeast Michigan signals to corporate leaders across the globe that the Great Lakes State offers great opportunities for their business expansion,” Snyder said. “This comes as we return from a busy, productive week developing and strengthening relationships that will lead to new investments, new export opportunities, and more jobs for Michiganders and our communities.”
CW Bearing, founded in 1984, has locations in California, North Carolina and Michigan. The company produces bearing components used in electronic power steering systems that are gradually replacing hydraulic steering systems.
The company plans to build a facility in Northville Township to house its U.S. headquarters, an engineering and technical center, and advanced manufacturing operations. The project will generate a total capital investment of $25.9 million and create 125 jobs, resulting in a $550,000 Michigan Business Development Program performance-based grant.
Michigan was chosen over competing sites in other states. Northville Township has offered support to the project in the form of property tax abatement.
“CW Bearing and all of its employees want to thank the state of Michigan for this grant and the support in helping us to make this project a reality,” said Jay Click, CW Bearing USA director of sales. “This facility, located in Northville Township near the heart of the North American auto industry, will allow us to better support our ‘Customer First’ philosophy by increasing both our global manufacturing and technical capabilities, allowing us to bring more value and versatility to our growing customers. “We look forward to continued support from the state and local government as we continue to expand our operations in the state of Michigan.”
During the investment mission, Snyder visited Beijing, Guangzhou, Shenzhen, Hangzhou and Shanghai, where he promoted Michigan business opportunities by visiting with companies connecting with senior government leaders.
He met with several automotive organizations including Chinese Association of Automotive Manufacturers and China Council for the Promotion of International Trade Auto Committee, encouraging investment or export opportunities for Michigan’s automotive industry.
Snyder also signed a memorandum of understanding between Michigan and representatives of four of China’s provinces and one of its major cities. Michigan is one of only five states and cities to have reached agreement with five industrial regions of China.
The agreement aims to strengthen friendly contacts between Michigan and each province or city. It enables the jurisdictions to increase cooperation and carry out exchanges in industry and agriculture, economic activities and trade, science and technology, culture and education, sports and health, travel and tourism, and other fields.
Snyder also met with journalists covering business and travel in Beijing, Guanzhou, and the Mutianyu section of the Great Wall. He and Michigan Department of Agriculture & Rural Development Director Jamie Clover Adams also met with Chinese agriculture officials to build upon relationships and cooperation, and boost exports of Michigan’s high quality agriculture products known globally for their food safety.
Concurrent with the governor’s investment mission, the Michigan Economic Development Corporation led business leaders from seven Michigan companies to China to meet with prospective business partners, distributors and buyers to increase export opportunities from Michigan to China.
The eight-day mission covered an estimated 15,747 miles, including nearly 2,000 miles traveled within China. The trip marks the Snyder administration’s fifth mission to China. Other missions led by Snyder or Lt. Gov. Brian Calley have included Japan, South Korea, Canada, Germany, Italy, the Netherlands, Brazil, Mexico, Israel, Chile, and Columbia.