FLORENCE, KY (FOX19) - Governor Steve Beshear joined community leaders and company officials from ZF Steering Systems LLC to celebrate the completion of its $95.8 million expansion in Boone County.
The project entailed the construction of two new buildings totaling 175,000 square feet on its existing site and is creating 374 new full-time jobs over the next two years.
"The expansion of ZF Steering is an excellent example of how state and local government, community representatives and the private sector all worked together to create a strong partnership to create jobs and investment in the Commonwealth," Gov. Beshear said. "I couldn't be more pleased to see this project become a reality and to know that global companies such as ZF Steering continue to display their confidence in the Commonwealth by creating jobs and making long-term investments."
ZF Steering Systems is a subsidiary of Germany-based ZF Lenksysteme GmbH and has been located in Kentucky since 1994. The company manufactures steering components for passenger cars and SUVs. The company added capacity to meet demand for its new electric steering gear.
"ZF is excited to announce the completion of our expansion to the Florence plant, which was driven by increasing interest in a product that helps save fuel," said Pierre Abboud, president, ZF Steering Systems. "The Servolectric electric power steering gear is a pillar of ZF's increasing role in the resurgent North American automotive market – and it's proving to be the right product at the right time."
An incentive package was preliminarily approved by the Kentucky Economic Development Finance Authority to encourage the near $100 million investment in Kentucky. ZF Steering was approved for up to $7.5 million in tax incentives through the Kentucky Business Investment program. The performance-based incentive can be earned over the term of the agreement through corporate income tax credits and wage assessments.
ZF Steering's expansion was one of Kentucky's largest job-creation and investment projects announced in 2010.
For more information on ZF Steering, visit www.zf-lenksysteme.com/english/index.php.