©2016 Michigan Economic Development Corporation

Detroit Area Wins Major Joint Venture Project

Thursday, October 29, 1998

John Truscott
(517) 335-6397

Over 300 New Jobs, Detroit's Lynch Road Ren Zone Gets ProjectGovernor John Engler announced today that a new joint venture project between Ontario-based Mackie Automotive Systems and minority owned, Lansing-based Trumark Assembly, LLC, will locate in Detroit's Lynch Road Renaissance Zone. The new joint venture, which will be called TruMack Assembly, LLC, is expected to create more than 300 jobs in the next four years. TruMack will manufacture Class A motor home chassis for the auto industry. The new project is expected to bring work from plants in Mexico to Detroit"This is a project that I have been watching closely because it's an excellent one for Michigan and Detroit," Engler said. "Not only is this new minority owned joint venture going into one of Detroit's Renaissance Zones, it is also moving work from Mexico to Detroit, which proves that Detroit and Michigan can compete with Mexico for jobs. This is such a good project for Detroit for so many reasons."The joint venture is expected to create approximately 345 new jobs in Detroit over four years as a result of the new project. The TruMack project is also expected to generate an estimated 477 additional jobs in the state, primarily from increased purchases from Michigan suppliers and spending by people who receive income from the jobs at TruMack, accordingto an preliminary economic analysis done by the University of Michigan.Engler also announced the approval of a tax credit for TruMack Assembly, LLC, worth an estimated $8,071,000 passed by the Michigan Economic Growth Authority. The City of Detroit was in competition with Elkhart, Indiana, for the project.The TruMack project will provide approximately $28 million in revenue to the state over the life of the agreement, resulting in a net positive gain to the state of about $20 million after the MEGA credit. The project is expected to generate approximately $360 millionin personal income.TruMack officials accepted the credit yesterday at the MEGA board meeting held in Lansing and announced plans for a groundbreaking in November. The company expects the new facility to be operational by November of 1999.

    • Direct 345
    • Indirect 132
    • Revenue Forgone $ 8,071,000
    • Revenue Gain $28,868,000
    • Average Wage $480/week
  • Personal Income Generated Over Life of MEGA Agreement $360,856,000