Chinese auto company to expand R&D center in Farmington Hills

A Chinese-based automotive company is investing more than $4.4 million and creating 62 jobs with a new research and development facility in Farmington Hills. Guangzhou Automobile Group will expand its current operations to focus on vehicle and product development.

“This is incredible news for Oakland County,” Michigan Gov. Rick Snyder said. “This investment is the product of continued friendships and working relationships with foreign investors that have led to more jobs for Michiganders. We look forward to working with GAC as the company grows and adds jobs here.”

Snyder has met with GAC during several trade missions to China, including his 2017 mission where he met with GAC President Feng Xingya and other senior officials to discuss the potential of expanding to Michigan. GAC has chosen Detroit over Silicon Valley for this expansion and is planning on establishing its headquarters in North America. The placement of this R&D facility in Farmington Hills will have a strong impact on where the
company decides to locate its North American headquarters.

Snyder has led seven trade missions to China, where he has worked to establish strong relationships with Chinese companies and government officials. Between January 2011 and July 2018, Michigan has received $1.2 billion in new business investment from China that created 6,304 jobs for Michigan residents.

Guangzhou Automobile Group Co. Ltd. was founded in 1997 and is the fifth-largest auto conglomerate in China. GAC produces cars through joint ventures with foreign and American automakers. The company’s first vehicle to enter the U.S. market will be the GS8, a mid-size SUV that is already for sale in China. GAC plans to lease a state-of-the-art facility in Farmington Hills, investing more than $4.4 million and creating 62 jobs, resulting in a $500,000 Michigan Business Development Program performance-based grant. Farmington Hills plans to support the project through the use of a facility for a recruitment event.