Leesburg, Va.-based Rehau Automotive is investing $50 million to expand its Cullman, Ala. plant to build exterior polymer-based components to supply Daimler AG's Mercedes-Benz SUVs.
The 100,000-square-foot expansion adds equipment like molding tools, paint jogs and assembly automation, Venki Padmanabhan, plant manager at Rehau, told Plastics News in an emailed statement.
The project, which "involves significant rearrangement within the ... Cullman facility," is expected to create 125 new jobs, an Aug. 31 news release said.
"Twenty-five years ago, Rehau followed Mercedes-Benz to the U.S. from the Bavarian town of Rehau to Cullman," Padmanabhan said in the release. "We were one of their earliest partners in launching their first SUV. Now, we are honored and excited that they have placed their faith in us once again to support the launch of their new models."
The existing plant opened in 1996 with 30 employees producing bumpers for the 1997 Mercedes SUV, the release said.
"The Rehau Cullman operations have expanded numerous times to the current footprint of about a million square feet with nearly 800 employees," the company said.
Rehau has about 18,000 employees at 170 locations, globally.