The Michigan Economic Development Corporation (MEDC) has announced that the Michigan Strategic Fund (MSF) has approved support and incentives for Fortescue, a global green energy, metals and technology company, to establish a US Advanced Manufacturing Center in Detroit.
As Fortescue first announced in front of world leaders at APEC last year, the Piquette Avenue facility will become a major hub for Fortescue’s production of automotive and heavy industry batteries, fast chargers and electrolyzers.
The Michigan Strategic Fund has provided support, approving a US$9m performance-based grant through the Michigan Business Development Program. Additionally, a 15-year, 100% State Essential Services Assessment exemption valued at US$1,300,950 and a state tax capture of US$2,374,413 for brownfield activities reimbursement were approved.
The City of Detroit Brownfield Redevelopment Authority is also contributing with a local brownfield work plan valued at US$4,246,411, and the city has offered an Industrial Facilities Tax abatement of up to US$7,684,208.
Fortescue plans to rehabilitate the existing facility in Detroit and prepare it for a future manufacturing and engineering workspace. Production is expected to commence in 2025 and the site has the potential to create up to 600 jobs as product lines ramp up to 2030.
Fortescue WAE CEO Judith Judson said, “Detroit is an extremely attractive place to manufacture, given the skilled workforce, existing EV and green energy supply chains, and strong support from state and local governments.”
Mayor of Detroit Mike Duggan said, “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.”
The new Fortescue site was originally constructed in 1920 as Fisher Body 23 and has 410,000ft2 of space over six floors on 14 acres.