Shinhwa Auto USA Corporation is strengthening its manufacturing footprint in Auburn with a $37 million expansion that will bring advanced tooling capabilities and vertical integration to its Alabama operations.
The strategic investment incorporates Italian toolmaker SAPP S.p.A. into Shinhwa’s Auburn operations, creating approximately 20 highly skilled engineering and technical positions while positioning the company to deliver complete aluminum die casting solutions from a single U.S. manufacturing base.
“We congratulate the leadership at Shinhwa and Mayor Ron Anders and the Auburn City Council for the expansion in Auburn. The investment is a good indicator of the continued growth opportunities that companies find in Alabama’s auto sector,” said Ellen McNair, Secretary of the Alabama Department of Commerce. “Bringing the tooling capacity to Auburn should further strengthen the manufacturing ecosystem of die casting companies in Alabama.”
Auburn Mayor Ron Anders said the expansion reflects the city’s growing reputation as a destination for advanced manufacturing investment.
“Shinhwa is once more growing its operations in Auburn, proving yet again that our city is fertile ground where businesses thrive,” Anders said. “Businesses are the backbone of our community. We are grateful for Shinhwa’s investment in Auburn and look forward to seeing their continued success.”
Shinhwa, a leader in aluminum die cast automotive parts since 1995, began Auburn operations in 2020 and has expanded multiple times since, developing capabilities in high-pressure and variable-pressure aluminum casting, automated machining and system component assembly. The latest investment follows the company’s acquisition of SAPP S.p.A., an established Italian toolmaker with deep expertise in precision die casting engineering.
Kwi Hyun Lee, chairman of Shinhwa Group, said the SAPP integration positions the company to offer complete engineering and manufacturing solutions from its Auburn base.
“This expansion is an important milestone that allows us to create a vertically integrated U.S.-based company,” Lee said. “Leveraging SAPP’s advanced engineering knowledge will further enhance our technical capabilities as manufacturer of complex and integrated aluminum car systems and will enhance our capabilities to service our customers quickly and efficiently.”
The tooling operation will be housed in a separate facility in Auburn Technology Park West. The strategic location will allow the division to serve both Shinhwa’s internal manufacturing needs and external customers requiring engineering and maintenance services for high-pressure die casting tooling.
The integration of precision tooling capabilities with Shinhwa’s existing casting and machining operations represents a significant step forward for Alabama’s automotive manufacturing sector. By bringing specialized engineering expertise to Auburn, the company is building the kind of comprehensive manufacturing capability that attracts additional investment and creates pathways for skilled workers across East Alabama.