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Kobe Aluminum Automotive Products breaks ground for expansion
May 15, 2013
BOWLING GREEN, Kentucky – Kobe Aluminum Automotive Products, LLC (or KAAP), broke ground on May 15 to expand its manufacturing facility in Bowling Green and increase production of aluminum forgings for automotive suspension systems.
KAAP will invest $66 million to build an 87,000 square foot addition to its existing facility and is adding 100 more employees. The new production lines are anticipated to start up in spring 2014.
Participating in the groundbreaking ceremony were Kentucky Governor Steve Beshear, State Senator Mike Wilson, Warren County Judge-Executive Michael Buchanon, Bowling Green Mayor Bruce Wilkerson and Bowling Green Area Chamber of Commerce Chairman Brad Howard. Both state and local officials welcomed KAAP's new investment plans.
Production of aluminum suspension components has been growing as automakers strive to make lighter cars, improve fuel efficiency, and reduce carbon-dioxide emissions. KAAP currently has four forging presses that produce around 270,000 pieces per month, but anticipates that demand for aluminum suspensions will increase tremendously in the medium-term future.
“In response to this anticipated demand, we decided to invest $66 million for this plant expansion," said Susumu “Sam" Koike, president of KAAP. “We will install a second casting line and increase the number of forging presses from four to six," said Koike.
“We had many options when we decided to set up this business in the United States," said Koike. “We have had great experiences in Kentucky and have never regretted our decision to establish KAAP in Bowling Green," he said. “In turn, the state of Kentucky has been supportive of our investments. We will do our best to fulfill our obligations to make our investment a business success for KAAP, as well as an economic success for Kentucky," said Koike.
Kobe Aluminum Automotive Products, LLC manufactures and sells aluminum forgings for automotive suspension systems in North America. The company is based in Bowling Green, Kentucky and currently employs 270 people. Established in 2003, KAAP began production in 2005. The company is 60% owned by Kobe Steel, Ltd., 25% by Mitsui & Co., Ltd., and 15% by Toyota Tsusho Corporation. For more information on KAAP, visit: http://www.kobeal.com
Kobe Automotive Aluminum Products, LLC
KAAP's forging presses: KAAP will expand its facility and add two more presses, for a total of six presses.
Groundbreaking ceremony on May 15: (from left) Ron Bunch, President, Bowling Green Area Chamber of Commerce; Victor Steele, KAAP Plant Manager; Ken McCutchen, KAAP Treasurer; Honorable Bruce Wilkerson, Mayor, City of Bowling Green; Susumu “Sam" Koike, KAAP President; Steve Beshear, Governor of Kentucky; Masanobu “Mason" Iwata, KAAP Vice President; Honorable Michael Buchanon, Judge-Executive, Warren County; Gregory Head, KAAP Secretary of General Affairs; and Brad Howard, Chairman, Bowling Green Area Chamber of Commerce.
