Georgia Governor, Brian Kemp says Toyota Industries Compressor Parts America (TICA) will expand its Pendergrass, Georgia, production facility in the State to meet growing demand for its on-board power electronics.

The company will invest US$5.5m in the project and create at least 27 new jobs in Jackson County during the next 18 months.

TICA’s Pendergrass plant currently manufactures air-conditioning compressors for automotive applications. The expansion will allow a production line of DC-AC inverters and add 15,000 square feet to the plant.

The investment is part of the company’s preparations to supply more parts and products to its on-board power electronics market.

“I want to thank Toyota Industries Compressor Parts America for being a part of Georgia’s US$3bn automotive industry,” said Governor Kemp. “Their decision to expand here is a testament to the hard-working Georgians of Jackson County and the strength of the automotive industry in the area.

“This announcement speaks to the importance of our logistics network, which continues to attract equipment manufacturers from across the world to expand or plants roots in the Peach State and we are grateful for the opportunities it will create for Georgians and their families in the region.”

Toyota Industries Compressor Parts works in concert with the adjacent TD Automotive Compressor Georgia facility, which assembles parts manufactured at the TICA plant. The combined facilities encompass more than 1m square feet of production space and a total investment of more than US$1bn.

“We are very pleased to join TICA’s operations in Georgia,” added executive officer for the electronics division of TICA’s parent company, Toyota Industries Corporation, Kota Otoshi.

“We would like to expand our electrical products from this plant and our on-board power electronics to our market in North America. We look forward to being a corporate citizen, who can contribute to the economic and social development of Georgia through the production and sale of our on-board power electronics.”

Parent company, Toyota Industries, announced the current TICA facility in 2012, which included an initial US$350m investment. Toyota Industries supplies automotive compressors for Toyota as well as Chrysler, Ford, General Motors and others.

Georgia is home to more than 200 automotive-related facilities.