Johnson Controls to invest $138.5 million, add jobs at battery plant in Holland

A worker puts labels on batteries at Johnson Controls in this file photo.

Auto supplier Johnson Controls Inc. will invest $138.5 million in its battery plant in suburban Toledo and add approximately 50 jobs as it converts the plant from making traditional lead-acid automotive batteries to newer absorbent glass mat, or AGM, technologies.

Pending final state and local approvals, Johnson Controls will receive a combination of tax credits and incentives from the state of Ohio totaling $25 million toward the project, the company said. Construction is scheduled to begin this summer and the first line will launch production in spring 2012. The plant, at 10300 Industrial Rd. in Holland, near Toledo Express Airport, currently has about 400 employees.

AGM batteries are used primarily in vehicles featuring fuel-saving “Start-Stop” technologies that shut down the engine at stop lights and other times that the vehicle is not in motion and seamlessly restart the motor when the brake pedal is released or the clutch is engaged. Start-Stop technologies, which have been in use for some time in Europe, can reduce fuel use and emissions by 5 to 12 percent and are being incorporated into several newer domestically-produced vehicles.

“Start-Stop vehicle technology is emerging globally as one of the most affordable options for consumers who want to buy a more fuel-efficient car for very little added cost up front,” said Alex Molinaroli, president for Johnson Controls Power Solutions, in a written statement. “We see this market growing to 35 million batteries globally by 2015, and the United States is an important piece of the market.”

The plant is expected to produce about six million AGM batteries per year by 2013.

Contact Larry P. Vellequette at:
lvellequette@theblade.com or
419-724-6091