The Michigan Strategic Fund awarded Torc a $3 million grant during its Tuesday, June 24 board meeting to support the project that’s expected to create hundreds of high-paying tech jobs.
“We’re eager to establish and to grow our facility in Ann Arbor and bring technology jobs to Michigan,” said Steve Kenner, Torc chief safety officer.
Torc, a subsidiary of Daimler Truck AG founded in 2005, is focused on developing self-driving software for long-haul freight trucks in the United States.
Kenner says the new facility just east of Ann Arbor city limits, located at 2211 Old Earhart Road, will serve as a “major engineering and innovation center” for the company.
“This facility and the engineering work that it does are critical for the company as it continues to grow and commercialize its autonomous trucking solution,” Kenner told the Michigan Strategic Fund board.
The hub will primarily be used for engineering, design and development of Torc’s software. Product testing will take place at other company facilities in Texas.
Torc expects the new facility will create 500 jobs in Ann Arbor Township.
Dan Neebes, a business development manager from the Michigan Economic Development Corp., says the predicted wages will be “exceptional” with average salaries of $177,000 a year for engineers who are developing autonomous technology.
“This project represents exactly the kind of project that we are eager to bring home,” he said.
Torc already employs 86 people in Michigan.
The new hub will also onshore jobs that were previously located in Germany as Torc closes its European facility.
“Earlier in my career, I spent over 30 years working at General Motors, Chrysler and Ford,” Keener said. “So I know firsthand that Michigan is the home to automotive innovation.”
Torc opened its first autonomous trucking hub in Texas last month.
The Michigan Strategic Fund board on Tuesday also approved a $1.25 million grant to back a project in Portage that’s expected to create 250 new jobs.
Pro Services, a skilled trades contractor, plans to invest $12.4 million in expanding its operations to accommodate a backlog of orders and take on new customers.
During the monthly board meeting, the Michigan Strategic Fund also addressed recent action from the Michigan Attorney General’s Office, which executed a search warrant at the Michigan Economic Development Corp.’s Lansing headquarters last week.
Christin Armstrong, chief operating and performance officer from the MEDC, said the grants under investigation are appropriated by the Legislature and the board does not have “oversight or responsibility” over that funding. She said the MEDC administers the grants “in accordance with the legislative appropriation” but as a quasi-state agency, it does not advise on them.
“In the wake of the increased public scrutiny into this process, we wanted to clarify the process on our end by which these grants are determined and funded and to underscore that there is no MSF involvement in these grants,” Armstrong said.
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