SALEM, Va. – STS Group AG, a manufacturing automotive company, is headed to Salem and is expected to bring 119 jobs in its wake, Gov. Glenn Youngkin announced on Thursday.
Its headquarters and manufacturing operation will be housed in the former General Electric building, which ceased operation in December 2019 after being in the community since 1955. Gov. Youngkin said $32 million will be invested into the facility, which is also the first STS Group AG company in the US.
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The announcement comes after Wythe County announced that STS Group AG would no longer be coming to their area. In April 2021, we reported that the international car part supplier would open its first US location in Wythe County and create more than 100 jobs; however, that is no longer the case due to changing market conditions and rising construction costs.
According to officials, the company will renovate roughly 200,000 square feet of the existing space and construct a 32,000-square-foot addition.
The new facility will also supply commercial truck assembly operations by Volvo Trucks in Pulaski County as well as other truck and automotive facilities throughout the Midwest and Southeastern U.S. markets.
Youngkin said he is happy with the news.
“When STS Group’s business needs changed, Virginia quickly pivoted to an alternate solution to ensure we retained the project in the Commonwealth,” said Youngkin. “I am pleased that the former General Electric building in the City of Salem could meet the company’s needs, representing 119 new jobs for hardworking Virginians and a vacant facility’s return to productive use. Collaboration, innovation, and solutions are Virginia trademarks, and we are proud to officially add STS Group to the Commonwealth’s corporate roster.”