JTEKT locating North American operational HQ at ICAR
Resource from: JTEKT Likes:220
Nov 10,2015
Greenville is expanding its automotive footprint with the addition of JTEKT's North American operational headquarters at the Clemson University International Center for Automotive Research (CU-ICAR) campus off Laurens Road.
The automotive parts and engineering company announced Monday that it would establish the headquarters, investing $1.75 million and adding 27 professional jobs. The JTEKT North America leadership group will be located in Greenville.
The company's move is a natural fit for Greenville, according to University of South Carolina economics professor Doug Woodward.
"It makes sense that Greenville is attracting some headquarters or North American headquarters in the automotive sector since we have such a large footprint in the automotive industry now," Woodward said. "It's the next step in the evolution in what will happen with our state's auto industry."
Recruiting headquarters is not a new idea for Greenville. A 2014 analysis for the Greenville Area Development Corp. said that Greenville's advantages in attracting headquarters include a thriving downtown and location midway between Atlanta and Charlotte.
The analysis also said Greenville could become a major research center for the automotive industry and in advanced materials — two research strengths of Clemson University.
JTEKT was a founding partner and anchor tenant at CU-ICAR, which launched more than a decade ago. Koyo Bearings USA, a division of JTEKT, currently occupies the Collaboration 3 building at CU-ICAR's campus. The new headquarters will occupy space in the 1 Research Drive and 7 Research Drive buildings. 1 Research Drive is currently under construction. The company's corporate headquarters is in Plymouth, Michigan and will remain there because of its proximity to the "Big 3" automakers — General Motors, Ford and Fiat Chrysler — according to Erin Wilson, a spokesperson for JTEKT North America.
JTEKT Chief Operating Officer Mike Davidson called the CU-ICAR location an "efficient base to support our extensive footprint in North America."
Greenville has lost two headquarters in recent months: Proterra, an electric bus company, and energy company Sempra's regional headquarters. Proterra left for California because of its large demand on the West coast. Sempra, based in San Diego, closed its Greenville offices this summer and also shifted those operations west to "better position the company to capture new market opportunities," spokesperson Steve Schooff told The Greenville News in May.
Packaging company Sealed Air was considering Greenville for its headquarters but chose Charlotte instead, and moved 750 jobs from Duncan and Greenville. The company said workforce and air service were two deciding factors.
The availability of easy air travel is what gives Charlotte and Atlanta an edge over Greenville for some companies when choosing a site for headquarters, Woodward said. Charlotte is a hub for American Airlines and Atlanta for Delta. Delta is also a focus city for Southwest Airlines, which recently scaled back its service to the Greenville-Spartanburg International Airport.
Heinz Kamping, JTEKT's vice president of engineering, said CU-ICAR's pool of talent and availability of research, training and education made the location appealing.
"Plus, Greenville is a very pleasant place to live," Kamping said.
JTEKT's North American operational headquarters is expected to be operational in early 2016, according to the South Carolina Department of Commerce.
JTEKT has manufacturing operations across South Carolina, with plants in Walhalla, Piedmont, Orangeburg and Blythewood. Nelson Lindsay, director of global business for the Department of Commerce, said he had seen firsthand the affects of JTEKT's presence in South Carolina, citing a 2012 expansion of JTEKT's Koyo facility in Blythewood that added 175 jobs.
"I've seen the impact they have in that community," Lindsay said. "This company has a tremendous impact on the state and we are thankful for that."
Hiring for the 27 new positions at JTEKT has begun, and details can be found at www.jtekt-na.com/careers/.
(JTEKT)
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