Germany-based company to invest $17.5 million
FULTON, Ky. (Aug. 2, 2013) — A. Kayser Automotive Systems USA, a subsidiary of Germany-based A. Kayser Automotive Systems GmbH, plans to establish a manufacturing facility in Fulton, creating 121 jobs and investing more than $17.5 million.
The operation will be Kayser’s first plant in the United States. The company’s decision to locate in Kentucky follows Gov. Steve Beshear’s visit with Kayser officials during an economic development trip to Germany in January.
“It’s an honor that Kayser chose Kentucky as its first site for U.S. operations, creating 121 new jobs and investing $17.5 million in Kentucky,” Beshear said. “Their decision speaks well of our business climate and strategic location.”
More than 400 foreign-owned companies from 30 nations employ more than 80,000 people at facilities in Kentucky. Of those, more than 170 companies are from Europe, accounting for nearly 27,000 jobs. Kentucky maintains an economic development office in Hamburg, Germany, as well as one in Tokyo, Japan, with the purpose of attracting foreign companies to the commonwealth.
Kentucky’s automotive industry continues to grow. So far this year, Kentucky ranks third in light vehicle production in the United States and first on a per capita basis. Just last year, Kentucky’s auto production numbers topped one million vehicles, the highest in five years.
With nearly 1,800 employees and eight international production sites worldwide, Kayser Automotive produces high-quality modules and ready-to-install systems for automotive original equipment manufacturers and Tier 1 suppliers in America, Asia and Europe. In order to expand and improve service to U.S. customers, the company plans to make modifications to an existing building on Kentucky Avenue in Fulton, where operations will include the fabrication, assembly and testing of metal and plastic components and assemblies.
“We are happy to locate our new operations in Fulton,” said Kurt-Heinz Borth, CEO of Kayser Automotive. “The U.S. market is very important to us, and we believe that Fulton, with its skilled employees, will ensure that we continue to live up to our high quality standards.”
The Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives up to $3 million through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets.
For more information on Kayser, visit kayser-automotive.com.