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Home » American Broach to Establish R&D Center

American Broach to Establish R&D Center

February 15, 2011

American Broach & Machine Company will establish a new research and development center in the Ann Arbor region. Today, the company received a Michigan Economic Growth Authority (MEGA) tax credit totaling $572,782 to help encourage the expansion. "American Broach & Machine Company is focused on quality processes and investing in manufacturing capability in order to make the world's highest quality internal spline broach cutting tools for gears and spline parts," said Ken Nemec, president, American Broach & Machine Company.  "American Broach & Machine Company would like to design, develop, and build newly innovated broaching machines to add value to manufacturing while growing jobs in Michigan. The company's new research and development center would give American Broach & Machine an edge in a tough industry, and help rebuild Michigan's manufacturing base."

American Broach & Machine Company, a designer and builder of machine tools for the auto and defense sectors, plans to invest $25 million in a new research and development center in Ypsilanti. The company expects the project to create up to 43 new jobs. The MEGA award helped convince American Broach & Machine Company to invest in Michigan over competing sites in Canadaand China. "The Ann Arbor region is a destination for advanced manufacturing," said Skip Simms, interim president and CEO.  "Access to talent as well as existing facilities and equipment help advanced manufacturing businesses hit the ground running and grow quickly in the Ann Arbor region."

The City of Ypsilanti is considering tax abatements in support of the project.

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