Koreas Sejong Industrial Co. will spend $27.8 million retrofitting a former Federal-Mogul Corp. factory in LaGrange, Ga., to supply Kia Motors Corp. with muffler and exhaust systems.
Sejong Georgia LLC will employ 250 people and begin production in October 2009, Georgia Gov. Sonny Perdues office said in a press release today. Kias $1.2 billion assembly plant under construction in nearby West Point, Ga., is slated to begin production of Sorento SUVs in late 2009.
The 108,000-square-foot factory will be Sejongs second in North America. It also has a joint venture with ArvinMeritor Inc. in Fort Deposit, Ala., that supplies mufflers and exhaust systems to Hyundai Motor Co.s assembly plant in Montgomery, Ala. Hyundai owns 39 percent of Kia.
Federal-Mogul, of Southfield, Mich., vacated the factory in late 2004 after nine years of producing aluminum pistons on the site, said Ray Coulombe, economic development manager for the City of LaGrange.
Sejong is one of several Kia suppliers that have announced plans to locate in Georgia in recent months. The largest, Hyundai Mobis, said in August it would build a $60 million plant in West Point to supply front-end modules, front-rolling chassis modules, rear-chassis modules, cockpit modules, front and rear bumpers and other parts to Kia.
Our strength in the automotive industry has garnered Georgia upwards of 1,400 supplier jobs, on top of 2,900 jobs at the Kia facility, Purdue said in a statement.