DETROIT -- Chinese automotive electronics component supplier Shanghai SIIC Transportation Electric Co. is establishing its first North American operation near Detroit to supply General Motors.
STEC USA Inc., a subsidiary of China’s largest automaker, Shanghai Automotive Industry Corp., plans to invest $15.1 million to open a new headquarters and manufacturing operation in an existing building in Madison Heights, Mich., a Detroit suburb.
The project stems from STEC winning several contracts with GM, requiring it to have a presence in North America, according to a state memo on the project.
The facility will manage STEC USA’s operations as well as manufacture automotive window regulators. It’s also expected to house r&d functions as well as warehousing.
The project is expected to create 176 new jobs and is supported by the Michigan Economic Development Corp. in the form of a $700,000 Michigan Business Development Program performance-based grant.
“STEC USA’s decision to establish its North American headquarters in Michigan tells global companies that Michigan holds great opportunities for growing their business,” MEDC President and CEO Michael Finney said in a press release.
“Michigan leads the country in new manufacturing jobs creation, and the new jobs resulting from this investment will keep us moving in the right direction.”
The city of Madison Heights is also supporting the project with brownfield grants. Madison Heights was chosen over a competing site in Missouri, the MEDC memo said.