Subaru Investing $140M More in Indiana Plant, Not Buying Normal Plant?
Subaru said Monday it would invest $140 million at its Lafayette, Indiana plant to expand production and add 1,200 more jobs at the facility. The announcement is only two years after the growing Japanese automaker said in 2013 they would spend $400 million at the plant to build its Impreza in the U.S. by 2016.
The announcement could also signal that Subaru may not have any interest in the closing Mitsubishi plant in Normal, Illinois, which is only 100 miles from the Lafayette plant. Last week, Automotive News reported that Mitsubishi was making plans to shutter the plant, which has been open since 1988, if they couldn’t find a buyer.
According to The Courier-Journal (Louisville, Kentucky), Subaru will complete the plant expansion by 2017. Local officials say the state offered $6 million in tax incentives based on the number of new jobs created by the plant. Subaru is already hiring new positions at the plant.
The Lafayette plant has roughly 3,800 workers and produces nearly 300,000 cars a year. Subaru has said that the plant will make around 400,000 cars annually after its expansion.
(Photo Courtesy Subaru of Indiana Automotive)