DETROIT -- Automotive bumper maker and stamping-plating services supplier AGS Automotive Systems plans to invest $21 million and add up to 90 jobs in Michigan in the next few years after acquiring and renovating an idled BorgWarner Inc. plant.
Toronto-based AGS, which has two U.S. locations -- in suburban Detroit and in Shreveport, La. -- recently closed on the 360,000-square-foot former BorgWarner plant and plans a multimillion-dollar investment in the site to manufacture front and rear bumper assemblies, the city announced late Monday.
AGS Automotive is a bumper systems supplier to General Motors Co., Chrysler Group LLC and several tier-one automotive suppliers. The company has received a $900,000 incentive from the Michigan Business Development Program to expand in Sterling Heights, Mich., and the city is considering its own incentives to help the business.
“This investment will allow AGS’ U.S. operations not only to retain their current jobs for the future but also to grow by tripling the number of jobs over the next few years and adding a number of new leading-edge manufacturing processes and capabilities,” AGS co-President Joe Leon said in a statement Monday. The site houses more than 30 employees now.
The city of Sterling Heights said the AGS redevelopment is expected to begin soon and begin production in spring 2013. The expansion deal also involved assistance from other federal, state and local governmental units and utility DTE Energy Co., Sterling Heights Mayor Richard Notte said in a statement.