Two auto parts manufacturers have announced plans to create hundreds of local jobs by expanding operations in Iowa and Alabama.
In Davenport, Iowa, Alcoa Incorporated said it will invest $300 million to expand its manufacturing facility to keep up with the growing demand from the auto industry.
Alcoa vice president John Fox told The Associated Press the demand for lighter weight aluminum products is being driven by the industry's need to meet federal guidelines to increase gas mileage and lower emissions.
"It allows for a smaller power train, better mileage and less CO2 output," Fox said. "It means our business is growing quite well."
The expansion is expected to create 150 new jobs.
In Alabama, auto parts maker Seung Chang Airtek (SCA) recently completed the expansion of its manufacturing facility in Auburn, a move that will result in the creation of approximately 200 jobs, double the size of its current workforce.
The company said the expansion was needed in order to keep up with an increase in demand for their injection-molded products used by Kia and Hyundai.