The Michigan Economic Development Corporation (MEDC) has approved support and incentives from the Michigan Strategic Fund for Fortescue, a global green energy, metals, and technology company, to establish a U.S. Advanced Manufacturing Center in Detroit.
Fortescue first announced in front of world leaders at APEC last year that the Piquette Avenue facility would become a significant hub for the company’s manufacturing of automotive and heavy industry batteries, quick chargers, and electrolysers.
Fortescue plans to rehabilitate a Detroit facility for manufacturing and engineering, with production set to begin in 2025 and the site potentially creating 600 jobs as product lines expand to 2030.
Fortescue Energy CEO Mark Hutchinson said Fortescue’s Advanced Manufacturing Center aims to revitalise the automotive industry’s birthplace.
“We are committed to investing in the next generation of green manufacturing projects that will help decarbonize business and heavy industry, and in turn create a strong future for manufacturing jobs in the United States,” Hutchinson stated.
Michigan Governor Gretchen Whitmer announced that Fortescue’s selection for the first U.S. Advanced Manufacturing Center will generate up to 600 jobs and boost the state’s economic momentum.
“Report after report shows that Michigan is leading the future of advanced manufacturing and clean energy. Fortescue’s expansion in Michigan and so many of the other investments we are competing for and winning are helping us make communities across our state better places to live, work, and invest. Let’s keep our foot on the accelerator and keep delivering on the issues that make a real difference in people’s lives so anyone can ‘make it’ in Michigan,” Governor Whitmer added.
To assist the project, the Michigan Strategic Fund today approved:
- A $9 million Michigan Business Development Program performance-based grant;
- A 15-year, 100% State Essential Services Assessment exemption valued at $1,300,950;
- The state tax capture is valued at $2,374,413 for the reimbursement of brownfield activities on the site.
The City of Detroit Brownfield Redevelopment Authority is funding the project with the local portion of the brownfield work plan worth $4,246,411, while the city has given an Industrial Facilities Tax abatement of up to $7,684,208.
Fortescue WAE CEO Judith Judson said Detroit is a highly desirable manufacturing location due to its skilled workforce, established EV and green energy supply chains, and robust government support.
“Fortescue is committed to being a valued government and community partner wherever we operate and look forward to maximizing the benefits alongside the local community in Detroit,” Judson added.
Detroit Mayor Mike Duggan commented, “Fortescue’s decision to locate in Detroit to develop its new Advanced Manufacturing Center adds to our city’s momentum in attracting sustainability and clean energy investments and the good-paying jobs they bring. It also is another major piece of the revitalization taking place on this stretch of Piquette Street, along with the redevelopment of the Fisher Body 21 and Studebaker plants into hundreds of units of new mixed-income housing. We are grateful to the Michigan Strategic Fund for its support of this project.”
The Fortescue site, originally named Fisher Body 23, spans 410,000 sqft and features six floors on 14 acres.
Fortescue WAE is a leader in the development and manufacture of batteries and zero-emission powertrains for a wide range of applications, including motorsports, mining haul trucks, and other off-road and automotive applications, with production and manufacturing already based in the UK. Fortescue also manufactures electrolysers in a cutting-edge factory in Brisbane, Australia.
MEDC CEO and President and Chair of the MSF Quentin L. Messer, Jr. said, “as a leader in green technology, clean energy and advanced manufacturing, we are thrilled that Fortescue has chosen Michigan as the site of its new U.S. Advanced Manufacturing Center.”
“After a competitive process, Fortescue’s decision is another proof point that ‘Make It In Michigan,’ focused on People, Places and Projects, is delivering results. We are proud that the City of Detroit will be home to cleantech innovation in the electrification of mobility and the development of a greener future for our nation and the globe,” Messer added.
