Subaru announced Monday it plans to spend $140 million to boost vehicle production at an Indiana factory and add up to 1,200 jobs in the next two years.
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The event is scheduled for 10:30 a.m.at the plant located at State Road 38 and Interstate 65.
Gov. Mike Pence announced Monday Subaru of Indiana Automotive has expansion plans and as many as 1,204 jobs will be created by 2017.
Subaru’s parent company, Fuji Heavy Industries Inc., chose to grow in Indiana, unlike some USA manufacturers that have expanded production in Mexico, Easterday said. Subaru’s Outback and Legacy and the Toyota Camry are now produced at the plant. The trip coincided with the Midwest U.S.-Japan Association Conference.
SIA is investing $140 million dollars to up production by almost 100,000 thousand vehicles a year. “The substantial increase in production volume at SIA will also result in new jobs and investment by many of our suppliers across Indiana”.
Executive Vice President of SIA Tom Easterday said the expansion will help meet the growing demand for Subaru vehicles in North America.
Talks among the company, state and local government officials, and economic development representatives had been in the works for months, Pence said. It expects to start building Impreza sedans by the end of next year under a $400 million investment in new equipment and other improvements that the company announced in 2013.
Pence met with Yoshinaga last week in Japan as part of a jobs mission.
“This news marks yet another significant investment in our growing community”, said Lafayette Mayor Tony Roswarski in a statement. “It’s a testament to our skilled workforce, positive business environment, quality of life and the company’s confidence in continued success here”.
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SIA is eligible for more than $6 million in tax credits based on the number of new employees, in a deal offered by the Indiana Economic Development Corporation. The city of Lafayette and Tippecanoe County will consider additional incentives at the request of the Greater Lafayette Commerce.
