Auto parts supplier to Nissan to invest $16M, add 100 jobs
Jul. 17, 2017
GLUCKSTADT, Miss. (AP) — A supplier to Nissan Motor Co. will add nearly 100 jobs in Mississippi, bringing its total employment in the area to about 600.
Calsonic Kansei, based in Saitama, Japan, said Monday that it is investing $16.3 million to move assembly of heating and cooling systems for Nissan trucks to a Gluckstadt warehouse owned by the Madison County Economic Development Authority.
State and local agencies are giving the company incentives worth more than $1.3 million.
Mississippi Development Authority spokeswoman Tammy Craft said the state is giving Calsonic Kansei $600,000 to improve the building's climate control and fire suppression systems. The Madison County Economic Development Authority is giving $60,000 for other building and infrastructure improvements.
Madison County is granting property tax breaks projected at $460,000 over 10 years, and on inventory projected at $256,000. Entergy Corp. provided unspecified assistance.
The company said new workers will make an average of $52,000 annually. Craft said that high pay level means the company could qualify for, but has not yet requested, another state incentive program that rebates a portion of worker income taxes to the company. That could be worth more than $2 million to Calsonic Kansei over 10 years.
Calsonic Kansei North America Vice President Nancy Rice said manufacturing began at the facility in May and the company plans to increase output from its 79th worldwide plant over the course of the year. The company plans a second phase in 2018.
The company declined to say how much it's paying to lease the building.
Buyout firm KKR & Co. bought Calsonic Kansei for about $4.5 billion earlier this year. Nissan is the company's main customer and formerly was its largest shareholder.