Products to be manufactured at the Dover site will include electric axles for light and medium-duty vehicles.
HERZOGENAURACH, Germany and FORT MILL, S.C.—Global motion technology company Schaeffler is planning to expand its operations in the United States by establishing a new manufacturing facility focused on producing automotive electric mobility products, the company said in a release.
Schaeffler is investing more than USD 230 million to build the new greenfield manufacturing facility in Dover, Ohio, and to expand in the state until 2032. Construction of the new facility is scheduled to begin in mid-2024, and the company estimates it will be completed in the third quarter of 2025.
Once complete, the first phase of the facility will offer approximately 130,000 square feet of advanced manufacturing space dedicated to electric mobility products for the automotive industry. Products manufactured at the site will include electric axles for light and medium-duty vehicles, Schaeffler said in the release.
“Our new plant will play a pivotal role in shaping our future in the Americas region,” said Schaeffler Americas Chief Executive Officer Marc McGrath, in the release. “Dedicated to advancing our innovative product offering, our new Dover, Ohio facility will feature state-of-the-art production processes so we can better serve our customers, while also adopting sustainable practices, as we continue to pioneer motion.”
Production at the planned facility will use cutting-edge technology, including Schaeffler-designed and manufactured tools and equipment. The facility will also incorporate eco-friendly practices that align with Schaeffler’s commitment to environmental responsibility and its commitment to be climate neutral by 2040, the company said.
As part of an agreement with the State of Ohio and JobsOhio, the company will receive incentives via grants and tax credits for these investments that are expected to create 650 jobs in the state. These jobs will lead to growth at the company’s current facility in Wooster, Ohio, and the new manufacturing facility in Dover, according to the release.
The planned Dover manufacturing facility will be in proximity to Schaeffler’s customers, major automotive OEMs, and strategic suppliers. It will also offer easy access to rail, highways,
and to the company’s Wooster facility, which specializes in the manufacturing of transmission systems and serves as an innovation hub for automotive electric mobility.
The new facility is expected to create approximately 450 job opportunities by 2032. Positions include manufacturing operators (assembly, welding and CNC), material handlers, manufacturing leaders, engineers, maintenance technicians, tooling technicians, quality professionals, and other support staff.
Schaeffler said its partnerships with local technical colleges will ensure a robust talent pipeline and provide the community with apprenticeship and pre-apprenticeship opportunities to be part of the future of electric mobility.
As part of its commitment to Ohio, Schaeffler recently completed an expansion in Wooster of almost 90,000 square feet to produce electric motors and components for electric powertrain systems. The company also said it expanded its relationship with The Ohio State University (OSU) to create a new battery cell research and development center that will open in 2025.
Schaeffler said it is reviewing whether the new facility is a potential candidate for benefits provided under the U.S. Inflation Reduction Act, with the goal of further improving the domestic electric vehicle supply chain and local workforce skill sets.
“We are convinced that the trend towards more electrification will continue,” said Klaus Rosenfeld, CEO of Schaeffler AG, in the release. “At the same time, Schaeffler is ideally positioned to benefit from its technological leadership in hybrid and fuel-efficient technologies, in particular in the U.S. On that basis, we are committed to support our clients [to] achieve their emission reduction targets and to realize our growth ambitions.”