©2018 Michigan Economic Development Corporation

Avon Automotive to Upgrade Two Plants, Retain 1,222 Jobs

Tuesday, August 15, 2006

Michael Shore, MEDC
(517) 335-4590

Company Investing $7.6 Million to Incorporate New Product Lines

Governor Jennifer M. Granholm today announced Avon Automotive plans to invest $7.6 million to upgrade its manufacturing facilities in Cadillac and Manton. The project will retain 1,122 Michigan jobs, including 565 directly by the company. Assistance offered through the Michigan Economic Development Corporation helped convince the company to invest in Michigan instead of a competing site in Mexico.

An economic analysis conducted by the University of Michigan estimates that increased economic activity created by the new facility will retain an additional 557 indirect Michigan jobs, in addition to the 565 retained directly by the company. The project is expected to generate more than $342 million in personal income for Michigan workers over the life of the tax credit.

The Avon Automotive facilities upgrade is one of eight economic development projects the Governor announced today. In all, they are expected to create and retain a total of 2,418 Michigan jobs.

Avon Automotive, designs and manufactures low-pressure hoses and hose assemblies for coolant, heater, fuel, vacuum brake and other automotive control applications. Avon Automotive operates 12 manufacturing locations in 10 countries. The company employs 565 in Michigan.


Avon Automotive
Economic Analysis
Summary Estimates
(All estimates in 2006 dollars)




Revenue Foregone

Revenue Retained

Average Weekly Wage

$ 652

Personal Income Generated Over Life of 7-Year Tax Credit Agreement

$ 342,390,000

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