Futronic USA to establish first US plant in Buda

BUDA — A project dubbed "Forward Motion" received the green light from the Buda City Council in June and then the Hays County Commissioners Court on July 16 in the form of tax breaks and other financial incentives. Futronic USA Inc., a leading manufacturer of motor vehicle transmission and powertrain parts and a supplier to Tesla, is setting its sights on the city of Buda for its first-ever U.S. location. The South Korean-based company is eyeing the acquisition of the former Fat Quarter building, spanning 66,250 square feet and situated on the west (southbound) side of IH-35, off Business Park Drive. The building acquisition is estimated at $11 million, with a capital investment of $17 million, which will include building improvements, fixtures and equipment. The company estimates it will create at least 200 jobs, with an average wage of $52,000 per year. The news has Buda Economic Development Corporation CEO Jennifer Storm excited. "Buda is about 20 miles from Tesla's manufacturing facility, Giga Texas, making us perfectly positioned for Tesla suppliers like Futronic,” Storm said. "At full build-out, Futronic is planned to employ 350 high-paying positions in our community, which would make Buda's largest employer,” Buda EDC Assistant Director Shannon Mumley said. “This is huge! Buda has a skilled workforce, with a school district that provides robust CTE programming, so this is a real asset for not only our economy, but for families and future generations." The EDC Incentive Task Force recommended, and council approved, providing $600,000 to encourage job creation. Commissioners approved an undisclosed amount via a Chapter 381 Incentive Agreement, which, according to the Texas Comptroller's Office, allows counties to negotiate directly with developers and businesses to provide incentives encouraging developers to build in their jurisdictions. Futronic wants to begin finishing out the space by the third quarter of 2024 and begin production a year later, in 2025. Futronic started in 1993 in automotive electronics. Since then, it has been supplying various types of motors, actuators and controllers to global automotive companies and continues to develop new products through creative and innovative technology and continuous growth.