Public Power Utility in Tuskegee, Alabama, Played Key Role in South Korean Firm’s Factory Decision

February 13, 2023

by Paul Ciampoli
APPA News Director
February 13, 2023

The Utilities Board of Tuskegee in Alabama played a major role in the decision by Samkee Corp., a major South Korean automotive supplier, to invest $128 million to open its first U.S. factory in Alabama.

Samkee’s decision to locate the factory in Tuskegee was announced by Alabama Gov. Kay Ivey on Feb. 10.

The Samkee project that will create 170 jobs in Tuskegee.

After finalizing agreements with state and local authorities, Samkee is poised to begin construction on the new manufacturing facility in the Tuskegee Commerce Park, where it will become the city’s first auto parts manufacturer.

Samkee will serve as a Tier 1 supplier to Hyundai Motor Co.

The Utilities Board of Tuskegee General Manager Gerald Long said he looks forward to deepening the partnership with Samkee.

“Our utility will serve power, water and sewer to the industry,” said Long in a news release. “Their presence in our community will allow us to expand our system and resources to better serve them and all of our customers at an even higher-level of reliable service. We are proud to be a full partner in economic development countywide.”

In an email to Public Power Current, Long noted that about a year ago, he was a part of a delegation that traveled to South Korea to meet with Samkee’s CEO and tour their facilities.   

“We helped craft the project agreement, which included the Utilities Board agreeing to build a new 28-megawatt substation and assist in the development of a 44-acre pad-ready site for the $128 million facility,” he said. “We are also expanding our Water and Wastewater facilities to serve the new development.”

Samkee’s manufacturing plant is expected to have a significant economic impact on Macon County, Ala., according to an analysis by the Center for Business and Economic Research at the University of Alabama.

The analysis projects that the Samkee factory will generate $140.2 million in annual economic output in Macon County, contributing over $37 million to the county’s GDP while also generating $1.3 million per year in taxes.