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Ivey announces ILJIN to invest $100 million in Auburn aluminum operation

The company’s new facility will employ about 160 people.

Gov. Kay Ivey Governor's Office
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Governor Kay Ivey’s office announced Thursday that ILJIN, an automotive and industrial bearings and chassis manufacturer, is investing nearly $100 million in a new facility in Auburn. The company’s new facility will employ about 160 people and will mark ILJIN’s entrance into the aluminum forging market.

Founded in 1973, ILJIN is a Korea-based global manufacturer of bearings and chassis components for rail, automotive and industrial markets.

“ILJIN’s decision to locate its next facility in Auburn is great news for Alabama,” said Ivey. “Alabama is already the fifth largest vehicle producer in the U.S., and it’s wonderful to see how we are continuing to expand and deepen our automotive supplier base, creating lasting jobs throughout Alabama.”

“Auburn has proven itself to be the ideal location of our company’s expansion here in America,” said Dongsoo Um, president of ILJIN South Carolina. “Thanks to the City of Auburn’s help, we were able to meet the tight deadlines for this project and will be able to provide our customers with the products they need.”

ILJIN will establish its new facility in an existing building in Auburn Technology Park North.

ILJIN Chairman DS Lee said the company has benefitted from keeping its production in the Southeast U.S. as opposed to establishing manufacturing facilities overseas.

“We have found the U.S., and in particular the state of Alabama, to be the most productive, the most competitive and the highest yielding of all our recent investments,” said Lee.

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ILJIN manufactures control arms, stabilizer links, ball joints and other components for major auto manufacturers. While ILJIN has previously used steel forging in its manufacturing processes, the Auburn facility will allow the company to begin producing forged aluminum control arms for its U.S. customers. This transition to aluminum allows for the production of stronger and lighter components resulting in safer, more reliable and more fuel-efficient vehicles.

“By combining our in-house forging capabilities with world-class technology, we’ll be able to produce the highest quality and lowest cost aluminum forgings for our customers,” said John Dix, president of ILJIN USA.

“We’re extremely grateful for the trust and investment by ILJIN in our community and the support of and partnership with the state of Alabama,” said Auburn Mayor Ron Anders. “We will continue to support and partner with ILJIN to ensure the company’s success here in Auburn. Thanks to our close collaboration with Auburn University and Southern Union State Community College, I am confident that ILJIN will find the talent it needs to run a sophisticated operation in our community.”

ILJIN will produce the raw forgings of components at the Auburn facility, which will then be sent to ILJIN’s Greer, South Carolina, facility for final processing.

“ILJIN first partnered with the state of Alabama 15 years ago when it opened its first North American wheel bearing facility in Phenix City,” said Alabama Department of Commerce Secretary Ellen McNair. “This is yet another success story that shows Alabama has all the ingredients for manufacturing companies to thrive in our great state.”

Wesley Walter is a reporting intern at the Alabama Political Reporter. You can reach him at wwalter@alreporter.com.

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