Shyft Group plans $16M expansion near Lansing to produce EV delivery vans

Shyft Group plans $16M expansion near Lansing to produce EV delivery vans

CHARLOTTE — Specialty automobile manufacturer The Shyft Team Inc. plans to spend $16 million to expand its engineering and producing capabilities in Charlotte to generate the company’s Blue Arc EV Solutions brand of electric commercial autos. &#13

The investment will enable Novi-based Shyft (Nasdaq: SHYF) to begin generation on the all-electric powered Course 3, 4 and 5 autos by mid 2023 at its legacy production services in Charlotte, about 20 miles southwest of Lansing. The specialty motor vehicle company will have the ability to manufacture 3,000 EVs per calendar year in Charlotte, exactly where it currently generates numerous Shyft product or service traces, these kinds of as conventionally run shipping vans and chassis used in motorhomes and get the job done vehicles.&#13

Firm executives be expecting the expansion to pave the way for new engineering, manufacturing and technological work at the web page. In an software for an industrial facilities tax exemption from the city of Charlotte, the company projected it would employ the service of 200 new staff as element of the expansion project, which includes renovations to Plant 4 and Plant 7, in accordance to a presentation in December. &#13

A Shyft spokesperson explained to MiBiz the organization currently employs about 900 persons in Charlotte, up from about 300 a pair of yrs in the past. The firm employs a whole of 1,225 persons statewide. &#13

“We’re incredibly very pleased to commit in EV output listed here in our residence point out of Michigan where our enterprise has been headquartered for just about 50 several years,” Shyft Group President and CEO Daryl Adams mentioned in a assertion. “We are thankful to be portion of the Charlotte community and glimpse forward to bringing the long run of fleets to our operations there.”&#13

Shyft Team was formerly identified as Spartan Motors Inc. and headquartered in Charlotte until eventually 2020, when it bought off its crisis reaction vehicle line, modified its identify and relocated administrative operations to Novi in a transfer to attract talent from southeast Michigan, as MiBiz earlier claimed.&#13

The financial investment arrives nearly five months right after Shyft been given the 1st 2,000-unit preorder for Blue Arc’s line of walk-in shipping vans, which will be readily available in system lengths from 12 feet to 22 toes and function 150 miles of variety. The company is marketing and advertising Blue Arc to last-mile shipping and delivery fleets.

With the growth, the company is leveraging aid and incentives from the metropolis of Charlotte, Lansing Financial Area Partnership (LEAP), and the Michigan Financial Progress Corp., which is giving an $800,000 overall performance-based grant less than the Positions All set Michigan Program. &#13

MEDC CEO Quentin Messer, Jr. stated Shyft Group’s growth “underscores the energy of your business enterprise powered by our state’s talented workforce and leadership in mobility and innovative manufacturing.” &#13

“We’re grateful to Shyft for this vote of self-assurance in Michigan and search ahead to operating jointly to improve, increase jobs, and deliver larger opportunity in Mid-Michigan,” Messer claimed in a assertion. &#13

The enterprise weighed finding the EV output facility in Indiana and Pennsylvania, according to the MEDC.&#13

“Our potential is shiny, and thanks to corporations like Shyft and our area companions, we can continue bringing essential source chains of automobiles, chips, and cleanse strength property to grow our financial state and create good careers for Michigan inhabitants,” Gov. Gretchen Whitmer stated in a statement. &#13

The state’s announcement noted the total project is forecasted to produce 680 work in Charlotte. A company spokesperson explained some of the employing had presently taken location and that Shyft Team will target on staff retention and boosting wages to get to selected milestones needed under the grant. Shyft Group also will continue on to get the job done with Capital Location Michigan Will work! on numerous talent initiatives. &#13

As nicely, an government earlier advised Charlotte officers the enterprise planned to pursue additional neighborhood tax incentives for a third place set to be a “battery storage facility” at the campus. Nonetheless, the business opted in the final four or 5 months not to pursue the incentive, according to a spokesperson. &#13

The firm will report its fourth quarter and yr-end 2022 earnings on Thursday, Feb. 23.&#13

As portion of a third quarter earnings report produced Oct. 27, Shyft Group executives narrowed their comprehensive-yr outlook to $1 billion to $1.1 billion in revenues. At the time, they said fees associated to EV progress had been expected to get to about $30 million for the calendar year. 

By the first nine months of 2022, Shyft Group created $725.1 million in product sales, up about 1.5 percent calendar year-about-yr. &#13

In 2021, Shyft documented annual revenues of $992 million and modified earnings of $108 million. &#13

EDITOR’S Note: This tale has been up to date from its unique variety.