Detroit Diesel To Invest $194 Million in Engine Manufacturing Plant - Engine Builder Magazine
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Detroit Diesel To Invest $194 Million in Engine Manufacturing Plant

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Detroit Diesel Corp. (DDC) announced that it will invest approximately
$194 million to expand existing operations at its manufacturing
facility in Redford Township, MI.

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The DDC facility employs 1,900 people and manufactures heavy-duty
diesel engines for the commercial truck market. Company officials also
confirmed its Redford Township investment will be supported by a
variety of state and local incentives, including a Michigan Economic
Growth Authority award of $56.8 million, as well as other state and
local tax credits and abatements.

The company’s investment will provide expanded and benchmark
manufacturing capacity for heavy-duty diesel engines featuring
Daimler’s proprietary BlueTec selective catalytic reduction technology,
designed to meet EPA 2010 emission standards. This new family of
engines represents the state-of-the-art in technology for fuel
efficiency and emissions reduction, according to the company.

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A major portion of the capital spending will support the machining line
for the cylinder heads of these new engines. The investment will also
cover facility renovations, infrastructure improvements, and
procurement of machinery and equipment, as well as ongoing routine and
incidental capital investment associated with the production of engines
at DDC.

“An investment on this scale only works with the commitment of strong
and dedicated partners,” said Henning Oeltjenbruns, vice president and
plant manager, DDC. “We welcome the recent UAW commitment to a new
master agreement. We applaud the State of Michigan, Redford Township
and Wayne County for their shared commitment to a generous incentive
package. We are pleased to announce that Daimler will make its own
commitment by investing $194 million. There is no better way to show
our appreciation for this support, and our trust in the people of
Detroit Diesel.” 

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Expansion-related construction at the site is expected to begin in July 2010 with completion projected for September 2011.

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