©2018 Michigan Economic Development Corporation

Inergy Automotive to Expand in Adrian, Create 427 New Jobs

Tuesday, November 13, 2007

Bridget Beckman, MEDC
(517) 335-4590 beckman1@michigan.org

France-Based Company Moving Operations from Canada to Michigan

Governor Jennifer M. Granholm today announced that France-based Inergy Automotive Systems will relocate its Ontario, Canada operations to its Adrian facility with assistance offered through the Michigan Economic Development Corporation (MEDC). The expansion will create $8.2 million in investment by Inergy and 427 new jobs, including up to 189 directly by the company.

Inergy’s investment in Michigan will help secure automotive manufacturing as a key sector of our increasingly diverse economy,” Granholm said. “Our leadership in R&D and concentration of talent continues to attract global companies and new jobs to the state.”

Based on the MEDC’s recommendation, the Michigan Economic Growth Authority board today approved a state tax credit valued at more than $1.3 million over seven years to win the expansion. The city of Adrian is prepared to support a 12-year local tax abatement valued at approximately $1.8 million. In addition, the South Central Michigan Works! office and the Lenawee Chamber for Economic Development will support the project by providing recruiting, screening and job training assistance.

“State and local collaboration is vital to attracting business expansion,” MEDC President and CEO James C. Epolito said. “Our local partners are on the front lines every day to secure the economic future of their communities and win jobs for the state.”

An economic analysis conducted by the MEDC estimates that increased economic activity created by the new facility will generate up to 238 indirect Michigan jobs in addition to up to 189 created directly by the company. The project is expected to generate more than $109 million in personal income for Michigan workers over the life of the tax credit.

“As the first MEGA program recipient in 1996, Inergy recognizes and appreciates the efforts the state of Michigan continues to make toward helping to increasing our competitiveness,” North American CEO Mark Sullivan stated. “Inergy’s success to compete in a global market is a solid example of the value of collaboration between business and a future-oriented Michigan government.” 

The Inergy project is one of six economic development projects the governor announced today. In all, they are expected to create and retain a total of 8,339 Michigan jobs.

“We are delighted and proud that Inergy Automotive has selected Adrian for the expansion of their operations,” Adrian Mayor Gary McDowel said. “This large and significant investment in our community represents the type of economic growth we are working hard to obtain. On behalf of the citizens of Adrian, I thank Inergy for its support to our community and look forward to continuing our long relationship.”

Inergy Automotive Systems was formed in 2000 as the result a merger between Solvay Group and Plastic Omnium Company’s fuel system activities. The company is the world’s largest fuel systems supplier operating 24 facilities in 17 countries with global headquarters in Paris, France. Inergy’s main North American customers include Chrysler, General Motors, BMW and Nissan.

  “The Lenawee Chamber for Economic Development is excited about the expansion, investment and new jobs at Inergy Automotive,” Chamber President and CEO Randy Yagiela said. “This is great news for the company, the state and our local economy.”

In her 2007 State of the State address, Granholm emphasized the importance of making Michigan a global economic powerhouse in the 21st century. Since January 2005, the governor and the MEDC have announced the creation or retention of more than 209,000 jobs as a result of targeted assistance provided by the MEDC.

The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information on the Michigan Economic Development Corporation’s initiatives and programs, visit the Web site at www.MichiganBusiness.org.

Inergy Automotive Systems LLC    
(All estimates in 2007 dollars)     









Revenue Foregone


Revenue Gain


Average Weekly Wage


Personal Income Generated Over 7-Yr Tax Credit Agreement



# # #