Shinhwa Auto USA Corporation announced a $37 million investment to expand its manufacturing footprint in Auburn, Alabama, incorporating Italian toolmaker SAPP S.p.A. into its operations. The project will establish advanced tooling capabilities in a separate facility within Auburn Technology Park West and create approximately 20 highly skilled engineering and technical positions.
What it means
The expansion integrates SAPP S.p.A., an Italian firm with expertise in precision die casting engineering, into Shinhwa’s U.S. base to support vertical integration. The company aims to deliver complete aluminum die casting solutions from a single U.S. manufacturing location. The new tooling division will serve both Shinhwa’s internal manufacturing needs and external customers requiring engineering and maintenance services for high-pressure die casting tooling.
Shinhwa began operations in Auburn in 2020 and has since expanded its capabilities in high-pressure and variable-pressure aluminum casting, automated machining, and system component assembly. Ellen McNair, Secretary of the Alabama Department of Commerce, said the investment is a good indicator of the continued growth opportunities that companies find in Alabama’s auto sector. Kwi Hyun Lee, chairman of Shinhwa Group, described the expansion as an important milestone that allows them to create a vertically integrated U.S.-based company.
Key facts
- $37 million: Investment amount by Shinhwa Auto USA Corporation.
- 20 jobs: Approximate number of new engineering and technical positions created.
- Auburn Technology Park West: Location of the new separate tooling facility.
- SAPP S.p.A.: Italian toolmaker acquired and integrated into Auburn operations.
- 2020: Year Shinhwa began operations in Auburn, Alabama.
- 1995: Year Shinhwa became a leader in aluminum die cast automotive parts.
Source: madeinalabama.com, reporting a Shinhwa Auto USA release