Tsuda Industries Co. Ltd., a Japanese automotive parts supplier, said Thursday afternoon that it plans to spend $56.2 million on an expansion at Mount Comfort Air Park East. The facility is expected to employ 116 people by 2016.
The company, which manufactures automotive transmission and chassis parts, said the investment will go toward constructing and equipping a 155,000-square-foot production plant on 20 acres at the industrial park east of Indianapolis.
Construction is expected to begin early next year and should be completed in January 2014. When finished, the plant will supply Toyota facilities across the country, including its Princeton location in southwestern Indiana.
Tsuda has more than 1,500 employees in Japan, Thailand, Indonesia and China. It plans to begin hiring for manufacturing, production and engineering positions at its Indiana facility next year.
The Indiana Economic Development Corp. said it will provide Tsuda as much as $1.2 million in performance-based tax credits and up to $150,000 in training grants based on the company’s job-creation plans. Hancock County has approved additional property-tax abatements.
“Indiana’s rich history in automotive manufacturing, skilled work force and low-cost, pro-business environment makes it the perfect location for Tsuda’s first North American investment,” company President Kenji Kunieda said in a prepared statement.
With roots dating to 1934, Tsuda began supplying Toyota Motor Corp. in 1937 and is partially owned by Toyota Group. It also supplies parts for Honda Motor Co. and Suzuki Motor Corp.
The company had more than $480 million in revenue last year.