This week’s radio address wraps up the Mid-East jobs mission, and also talks about the on-going debate in Congress concerning help for the automakers.

This is Governor Jennifer Granholm.

A week ago, I departed on my seventh overseas mission, to bring investment and new jobs to Michigan – this time to the Middle East.

It was a great trip.

My team and I met with companies that specialize in the same kinds of industries that we are working to create here in Michigan – alternative energy, homeland security, medical technology and more.

These companies, like Better Place in Israel which is working on the electric car and Millennium Solar in Jordan which can power entire factories using solar power, are already successful in the Middle East. Now, they want access to the North American market and thanks to our visit, they now know Michigan is the perfect place to make that happen.

We have the workforce and manufacturing expertise that is a perfect fit for these types of companies. Our team made a strong case for Michigan and I believe that in the coming months, we will have a number of exciting jobs announcements.

We also signed an historic agreement with Israel – a joint declaration of strategic cooperation for creating jobs in water technology. Israel and Michigan share a commitment to protecting the world’s water and this first-of-its-kind agreement commits us to collaborating to find new methods for keeping our water clean, using it to create renewable energy, and allowing water re-use for generations to come. But as positive as this jobs mission was, this was a difficult week to be so far from Michigan.

The on-going debate in Congress about help for our automakers is not only critical to the economic health of Michigan and the entire country, but also to our ability to achieve energy independence and maintaining our national security.

That’s why, while our economic team continued its work in the Middle East, I returned earlier than planned to join our outstanding team at work in Washington. Senators Carl Levin and Debbie Stabenow and our House delegation led by Congressmen Sandy Levin and John Dingell are fighting to protect our auto industry, our families, and our economy, and I am proud to lend my voice to their efforts.

Though it was disappointing to see Congressional leaders postpone action on a much-needed loan for auto companies, I was encouraged to hear their strong commitment to helping them avoid bankruptcy. They recognize, as I do, that far too many families and communities depend on this critical sector. We cannot simply walk away from it.

It’s been a tough week, but the people of Michigan are tougher. This nation is headed toward a new alternative energy economy and Michigan will be at the center of it. We are committed to fighting for a economic future that includes healthy auto companies producing the next generation of vehicles right here in the United States, whether those vehicles are fuel efficient, gas-powered, or battery-powered, or electric-powered, or hybrid.

Thank you for listening.

Wednesday began early for our team with a 7 a.m. flight to Amman, Jordan for the last leg of our 2008 Middle East jobs and investment mission. As we flew into Queen Alia Airport, the dramatic change in terrain became clear. Where Israel is lush and green sitting right on the shore of the Mediterranean Sea, Jordan is desert. Amman, the ancient capital of the Hashemite Kingdom, has sandstone architecture, olive and banana trees, but none of the trees and greenery that Americans are used to. It is a truly beautiful and historic place.

After a briefing at the U.S. Embassy on Jordan and U.S. relations, we were off for meetings with Catalyst Private Equity, a venture capital firm, and Millenium Energy Industries, an alternative energy company that is doing cutting edge work with solar energy. The projects they have underway include a local chocolate factory that is powered by solar energy, 24 hours a day, 7 days a week, and a Jordache Jeans factory — the Millenium executives even had some delicious “solar chocolates” for us to taste from the factory.

Millenium Energy is looking to approach the U.S. market by putting some pilot projects in the states and also possibly expanding with a manufacturing site back home too – we made the case for why Michigan is the perfect gateway to North America. We made sure they knew about our great workforce, our world-class universities and our new energy package which makes it easier for alternative energy companies to anchor and create jobs in our state. The meeting was very promising and I look forward to a future partnership with the company.

I was also honored to be welcomed by His Majesty King Abdullah II. The gracious Jordanian King invited us to the palace where we had the chance to discuss future partnerships between Michigan and Jordan in the areas of alternative energy and water-reuse technology. His Majesty is truly committed to education, focused on a well-educated work force and a knowledge-based economy – like we are in Michigan and we talked of a possible university collaboration.

This afternoon we enjoyed a wonderful traditional meal with Dr. Haifa Fakhouri, President and CEO of the Arab American and Chaldean Council, with her family. The courses never stopped coming — from the wonderful hummus, to falafel, lamb and fish, Spicy Red pepper dip and Garlic dip — it was an unforgettable meal.

This has been a wonderful, encouraging week. We have been welcomed by leaders and dignitaries, business leaders and entrepreneurs. And we have seen the tremendous potential for partnerships and investment that will bring jobs to Michigan. By the end of this week our team will have been in 3 countries, holding 48 meetings, talking with well over 130 companies.

While our team is continuing with their work here, I am ending my trip sooner than planned. I am leaving Jordan tonight to be in Washington, D.C. tomorrow as Congress continues its discussions about critical help for our automakers. The decisions they make will impact jobs and our economy, as well as our nation’s ability to achieve energy independence and to ensure our national security. I’m proud to be part of a great team, including Senators Carl Levin and Debbie Stabenow and Congressmen John Dingell and Sandy Levin, to fight for Michigan’s families, Michigan’s economy and Michigan’s future.

It was another full day of meetings on my second day in Israel! This morning we made the 70 kilometer trek from Tel Aviv to Jerusalem. There were many morning commuters on the road as we made our way through the rolling Judeau hills.  As a person of faith, arriving in Jerusalem is a truly incredible experience.  The history, beautiful architecture and the olive trees reminds you of the unique history of this place.
 


Our first meeting was with the Prime Minister of Israel, Ehud Olmert.  He was very interested in our economic plan and what the future holds for Michigan in the 21st century.  He was so pleased to hear that we would be signing a joint declaration of strategic cooperation on water technologies, with Israel later in the morning. Like me, the Prime Minister believes that Michigan has the resources and Israel has the technology to create great synergy on this important issue. The Prime Minister is no stranger to Michigan, having visited friends in the Detroit area many times.  He’s even had the chance to take in a Pistons game!
 
Later in the morning, we joined with Israel’s Deputy Prime Minister and Minister of Industry, Trade and Labor to sign a Joint Declaration of Strategic Cooperation, a partnership between Israel and Michigan.  This new partnership will include a working group that will focus on innovative technology to increase energy efficiency, improve water quality, and increase water reuse.  Like the joint agreement we signed with Sweden to work on biofuels, this holds great potential for new jobs in Michigan. 
 
This afternoon we stopped in for a visit at the Frankel School in Jerusalem.  Michigan native, Stanley Frankel operates the school. We were greeted warmly by the children who were waving Israel flags and American flags while singing traditional Jewish music. And I was honored to have a chance to tour Old Jerusalem and lay a wreath at Yad Vashem, the Jewish communities memorial to those victimized by the Holocaust. The ceremony touched us all and reminded us that we must never forget the horrifying experience of the Holocaust, lest it be repeated.
 
With all that is happening in the economy and as the debate over the future of the auto industry continues in Congress, our time in Israel has been a renewal of hope.   Not that long ago, this country faced similar economic challenges to what Michigan is experiencing now. They were reliant on agriculture and needed to diversify their economy. In the last decade, they have honed in on homeland security and defense and water technologies and have strengthened their economy, created thousands of new jobs and lowering their unemployment rate.  A reminder that we are on the right path in Michigan.  We must continue to work our plan, fight for the future of our auto industry and manufacturing sector and create jobs in places where Michigan has a natural advantage like alternative energy and homeland security.  And that’s exactly what we’re going to do …
 
Stay tuned for more from the Middle East tomorrow…

ABOVE: Visiting a hospital near Nagoya to see an artificial heart and lung machine produced by Terumo Corporation in Ann Arbor in action. Terumo recently announced it would move operations from Tustin, CA to the plant in Ann Arbor.

On the final day of this jobs and investment mission, we covered more ground in Nagoya and Osaka.

We started bright and early with a breakfast meeting with Toyota Tsusho, co-owner of Eurus Wind Energy. Well established in the automotive industry, Toyota Tsusho is looking to move into the renewable energy business with Eurus Energy and we talked about the possibilities for making that happen in Michigan.

Then it was off to Toyota Motor Company to meet with President Watanabe. He was gracious enough to spend time discussing his company’s plan to develop battery technology, the success and expansion of the Toyota Technical Center and more.

ABOVE: Discussing the future of hybrid and electric vehicles with Toyota Motors President Katsuaki Watanabe.

I also met with company executives from Toyota Boshoku, including Dr. Toyoda. Toyota Boshoku is another great company in the Toyota family.

When I was looking back on the week this morning, I was thinking about all of the generous and kind people we have encountered – from economic and business leaders to hotel staff to restaurant owners – people are so thoughtful – they rush to assist, to offer a helping hand, to point the way. We have all felt so welcome here.

Midday we met with Terumo Corporation, a leader in the medical device industry. At their Ann Arbor facility, Terumo makes an artificial heart and lung machine that keeps patients alive during heart surgery. Last month, Terumo announced it would invest $3.5 million, creating 157 new jobs, including 65 directly by the company to relocate and expand the R&D and manufacturing operations of its subsidiary, Terumo Cardiovascular Systems, from Tustin, California to their Ann Arbor thanks to help from our state economic development arm. I not only got the chance to thank Terumo’s management for this exciting development, we traveled to a hospital near Nagoya to see this device – made in Ann Arbor – in action. The heart and lung machine that was demonstrated for me was used just last night in a surgery in that hospital. The company reports that they will greatly expand their Ann Arbor workforce, adding 100 jobs over the next three years.

Then it was off to Osaka to meet with Sharp. To most Americans, Sharp is best known for their LCD televisions and computer monitors, but solar power was the topic of the day. Sharp is very active in the solar power industry, making photovoltaic cells. Needless to say, they are very interested in Michigan since we have Hemlock Semiconductor – the world’s largest supplier of the material needed to makes those cells.

ABOVE: Reviewing projected sales figures with executives from Howa Textiles who are planning an expansion of their R&D center in Novi.

Tonight we were pleased to finish the evening with an exciting announcement from Howa Textile who will soon be expanding their engineering facility in Novi, investing in Michigan and creating more jobs in our state.

Its been a great three days full of promise and potential jobs for Michigan. I feel confident that we will have many exciting announcements for Michigan in the coming months thanks to the hard work done by everyone involved in this trip.

Stay tuned…

ABOVE: Pitching Michigan to executives from Mitsubishi Heavy Industry. The company, which has long had a relationship with Michigan, is diversifying into wind turbine manufacturing and will soon decide where to locate their first American manufacturing facility. MEDC officials met with the company in California prior to today’s meeting to encourage consideration of Michigan and I made the case for why Michigan was the best place in the country for wind manufacturing.

I’m back on Day 2, writing from my hotel room in Nagoya after another full day of meetings, events and travel.

Last night we were invited to dine with executives from Hino Motors at Chinzan-so, Tokyo’s Japanese Garden Restaurant which is located in a particularly scenic part of the city. After a hectic day, we had the chance to stroll through their beautiful gardens before heading into dinner. Dinner included eel, barracuda, fish dumplings, sake-boiled scallops, dragon fruit (really big and hot pink on the outside) – I was a little leery of the fare at first, but it was surprisingly tasty!

It was an early morning today, with a 5:30 a.m. wake-up call and another breakfast briefing with the team. We were on the bullet train by 8:00 a.m. to travel on to a meeting with Mitsubishi Heavy Industry. MHI is a great example of how the world is changing. MHI has manufactured heavy equipment for generations, but is now branching out into wind turbines and we want their first American manufacturing facility to be in Michigan.

As we traveled through the city, I was reflecting on the mix of old and new in Tokyo. There is the serene old Imperial Palace and then the bright lights and glitz of the Ginza. The Ginza is the district’s center – one square meter in this area is worth more than ten million yen (which is equal to more than $100,000 U.S. dollars), making it one of the most expensive places for real estate in Japan. It is also where you can find the infamous cups of $10 coffee! While in the Ginza district, it is apparent that the Japanese always have the latest toys, clothes, and music on hand.

ABOVE: Talking about development of the lithium ion battery with Masahiko Otsuka, President of Automotive Energy Supply Co., a joint venture between Nissan and NEC looking to establish a North American presense for their growing customer base.

After our meeting with Mitsubishi Heavy Industry, we had a chance to sit down with Automotive Energy Supply Corporation (AESC), a joint venture between Nissan and NEC established just last year to produce lithium ion secondary battery systems for cars. AESC needs to establish a North American presence and they want to do it near their potential customers … and that should mean Michigan. During lunch we met with Yorozu Corporation, I thanked them for their commitments in Battle Creek and Farmington Hills.

After our meetings we were back on the train and headed for Nagoya to have dinner with three great companies that already have a presence in Michigan including: Denso, Tokai Rika, and Aisin, which last month announced a proposed $8.6 million expansion of its Plymouth Township technical center creating up to 300 jobs. The Aisin Group, the world’s sixth-largest automotive supplier, in 2005 located an 800-acre automotive testing center in Fowlerville, one of the projects we announced following our previous investment mission to Japan in 2005.

Like so many of us, these economic leaders are watching all that is happening in the U.S. economy very carefully. They are concerned with the instability in the markets and the challenges of Lehman Brothers and AIG. They share our concern, but also our hope and confidence that our automotive industry, our state and our nation are strong and resilient in the face of challenge.

Another full day tomorrow; hope to share more good news with you! Until then…good night and stay tuned…

ABOVE: Enjoying a light moment with Mazda Chairman and CEO Hisakazu Imaki while discussing Mazda’s new production facility in Flat Rock and the potential for future investment in Michigan

It’s great to be back in Japan. It was a hot one today – temperatures in the mid-80s with lots of humidity. Unfortunately this may be our only sunny day…rain is in the forecast for the rest of the week. News of Typhoon Sinlaku reminded me of our 2005 investment mission when we were here on the heels of another a typhoon! I hear we are missing some great fall weather back home.

This morning came early after a long day of travel from Detroit to Tokyo. We arrived at our hotel last night and following a cup of java and a quick breakfast briefing this morning, we were off to company meetings where we emphasized that our top-notch workforce and a host of new tools in our economic development toolbox make Michigan the perfect place for global companies to invest.

ABOVE: Discussing alternative energy development with Hitachi President and CEO Kazuo Furukawa and his team

Today’s schedule was packed with back-to-back meetings as we talked with executives from 11 different companies… including: Nissan, Hitachi, Konica-Minolta, Meiden, Honda, Keihin, Sekisui Chemical, Tokyo Electric, Mazda, Eurus Energy and Hino Motors. Sometimes we were sprinting from meeting to meeting – it felt like the Amazing Race television show, but of course we were selling Michigan all the way along!

ABOVE: Discussing the potential for wind power generation and the jobs it would create in Michigan with Eurus Energy President Tetsuro Nagata

Today we are aggressively targeting companies particularly in the alternative energy industry; a key sector in our economic plan to diversify Michigan’s economy. Every company we met with was enthusiastic about the potential of renewable energy and I was truly honored at the reaction we received from company officials. Despite the challenges to the auto industry and the tough situation on Wall Street, we were encouraged by the interest in companies that want to invest in the Great Lakes State. We discussed some potentially exciting alternative energy projects including lithium ion batteries, electric vehicle platforms, wind turbine manufacturing and wind farms with Nissan, Mazda, Eurus Energy and Tokyo Electric.

Japan and Michigan already have a great working relationship. In fact, there are more than 472 Japanese-owned companies in Michigan, employing over 39,000 people. But this trip is all about continuing to build on this great relationship attracting growth and new jobs in the future.

A footnote for the day: The locals call Japan, Nippon, which means “the sun’s origin” leading to the common translation Land of the Rising Sun.

Stay tuned for more news on our meetings and travels tomorrow…

Next Wednesday, Governor Granholm leaves for a week long overseas investment mission to Israel and Kuwait – this will be the governor’s sixth jobs and investment mission since 2004. Previous overseas missions resulted in 37 companies announcing over $818 million in new investment and more than 9,000 jobs created and retained for Michigan.

Whie overseas, the governor will focus on companies that can bring us investment and jobs in the areas of high-tech automotive, alternative energy, homeland security, and environmental technology industries.

In Israel, Granholm will meet with companies already doing business in Michigan as well as companies considering expansions into North America, including Cleantech Ventures (alternative energy), Raviv ACS (automotive), Inspire Investments (venture capital), Mekorot (water re-use), Tadir Gan Group (automotive), and Elbit Systems (homeland security/defense).

The governor will also meet with members of the American Israel Chamber of Commerce, the Manufacturers’ Association of Israel, the American Israel Friendship League, and the country’s leading government and industry experts in water treatment technologies. Granholm also is scheduled to meet with Israeli Prime Minister Ehud Olmert and other senior officials of the government.

The governor will then travel to Kuwait to meet with top government officials and visit Dow Chemical’s joint venture EQUATE.

“Israel and Kuwait have a mix of industries that closely mirror the new industries we want to grow in Michigan,” said Granholm. “We think there are rich opportunities to partner and create jobs here in Michigan.”

Stay tuned for updates!

Five previous jobs missions overseas have resulted in 37 companies announcing over $818 million in new investment and more than 9,000 jobs created and retained for Michigan. On her trip to Israel and Kuwait, Governor Granholm will meet with companies in the growing fields of advanced manufacturing, alternative energy, homeland security/defense, and water treatment technology sectors.

“International investment missions are part of our economic plan to go anywhere and do anything to bring jobs to Michigan,” Granholm said. “In the last five years, we have gone overseas to bring to Michigan new investment and jobs from global companies looking to expand their presence or open their doors in North America. Now, with a host of new business tools, combined with our world-renown workforce, we have an even stronger case to make.”

Here is the breakdown on previous jobs missions, with a list of some of the companies who chose to invest and create jobs in Michigan following the govenor’s visit.

Following the governor’s missions to Japan in 2005 and 2006, 21 companies stated their intent to expand in Michigan, including DENSO, Konica Minolta, Meiden American, Mitsubishi Heavy Industries, and Tokai Rika for a total investment of $339.4 million and 2,248 jobs created and retained.

Granholm’s investment missions to Germany in 2004 and Germany/Austria in 2007 resulted in several companies announcing investments totaling $397 million and 4,532 jobs created and retained, including Behr America, Eberspacher, Bosch, Karmann, Mahle, FACTON, Kostal, MBTech Autodie, and AVL. Her mission to Sweden and Germany in 2007 resulted in Atlas Copco, SECO Tools, MS Precision Welding, Brose, Behr-Hella and EDAG announcing $82 million in new investments and 2,397 jobs created and retained.

One recent example of the success of these missions was the announcement that EDAG would expand their United States operations by assembling the Tomcar in Aubun Hills. The Tomcar is an all-terrain vehicle which will be built in two-seat, four-seat and minitruck configurations. Initial production is expected to create 95 jobs, and, due to high demand for its product, the company is looking to eventually expand to a second production facility in Troy.

Tomcar USA is the direct result of Michigan’s ongoing effort to bring new investment to the state, and it officially opened its first U.S. assembly line for its side-by-side, offroad vehicle. The Tomcar, which traces its roots to an Israeli Defense Forces motor pool, will now be produced under contract by EDAG Inc.

Gov. Jennifer Granholm said Tuesday the opening of the Tomcar assembly line will create 95 jobs “We want to make sure you know how important this investment is for Michigan,” she told representatives of EDAG and Tomcar. “This is part of the effort to build the new Michigan economy.”

Trade missions by state governors have been a frequent practice since the 1980s. An article written way back in 1990 sums up the reason-

In response to an informal National Governors’ Association survey, governors reported that overseas trips increase exports of goods and services produced in the states; bring investments in new and expanded manufacturing facilities; create more jobs; encourage joint projects with firms in other countries; allow states to set up or renew sister-state relationships with other countries’ states or provinces; promote tourism; and help business leaders in their states develop contacts that eventually pay off in increased business with overseas firms.

In the new global economy, these missions are a must for any state looking to create investment and jobs. Stay tuned to see who we bring back to Michigan this time!

Governor Granholm announced yesterday the MEDC has helped six companies expand right here in Michigan, creating up to 2,225 jobs and bringing $248.4 million in capital investment. Using the “most aggressive strategy of any state in the nation”, MEDC was able to beat the competition from other states and attract the kind of high-wage jobs and talent that will help Michigan grow into the 21st century economy.

The projects announced-

General Dynamics Land Systems Inc. – Sterling Heights-based GDLS will invest $10 million to expand its operations in Sterling Heights and Shelby Township. The project is expected to create 500 new jobs at the company and an additional 649 spin-off jobs. A state tax credit valued at $43.8 million over 12 years helped convince the company to choose Michigan for the expansion over competing sites in Virginia, Florida and Ontario. To support the project, the city of Sterling Heights has proposed a nine-year abatement worth $185,000. Shelby Township is considering a five-year abatement worth $70,000.

The Detroit News has the details on why GDLS chose Michigan over other locations. Along with the various tax incentives, a well-educated workforce plays a key role.

“Our roots are in Michigan,” said Peter Keating, a GDLS spokesman. “The engineering talent we get from Michigan’s universities continues to give us a very rich source of well-trained, well-schooled engineers that have historically been of great value to our business, decade over decade.”

The company formed in 1982 as a subsidiary of General Dynamics Corp. It designs and builds armored vehicles and subsystems for the U.S. Army, U.S. Marine Corps and international customers. Some 300 jobs could be added by year’s end, Keating said. The expansion plan also includes more laboratory space and engineering work stations.

The Kalamazoo area will see many new jobs from the two different companies who announced expansions yesterday.

Kaiser Aluminum Corporation – The Foothill Ranch, Calif.-based producer of high-quality fabricated aluminum products for aerospace and high-strength, general engineering, and custom automotive and industrial applications plans to locate a new $80 million state-of-the-art billet casting and extrusion facility in the Midlink Business Park in Comstock Township. The project, pending the company’s final approval of a lease agreement, is expected to create 717 jobs, with an initial 150 directly by the company. A state tax credit valued at $3.7 million over 10 years helped convince the company to choose Michigan for the new facility. To support the project, Kalamazoo-St. Joseph Michigan Works! has pledged up to $280,000 in employee recruitment and job training assistance. The company currently employs 14 associates in Michigan primarily in sales and engineering.

Fabri-Kal Corporation – Kalamazoo-based manufacturer of thermoformed products for the foodservice and consumer goods packaging markets, will invest up to $38.7 million expand and relocate its current manufacturing operations to the former Mead Paper facility in Kalamazoo. The project is expected to create up to 160 new jobs over the next five years and retain 42. A state brownfield tax credit valued at $3.5 million will help the company return the vacant, functionally obsolete facility to manufacturing use.

Both Fabri-Kal and Kaiser are investing money into redeveloping existing space that was currently sitting vacant. From the Kalamazoo Gazette, Kaiser will locate in an old GM plant, and, as stated above, Fabri-Kal will upgrade the Mead Paper site, adding new equipment and jobs over the next several years.

According to Ron Kitchens, chief executive officer of Southwest Michigan First, the business will take up about half of the Midlink East building, one of two structures covering 1.6 million square feet of space that were redeveloped from a former General Motors Corp. metal-stamping plant that was closed in the mid-1990s in Comstock Township.

Southwest Michigan First also said the 58-year-old Fabri-Kal Corp. intends to purchase the 387,360-square-foot former Mead Paper Co. facility on Covington Road and invest more than $3.8 million to upgrade the site. The site has been vacant since 2001.

Kitchens said Fabri-Kal expects to invest more than $28.3 million in new equipment over the next five to seven years. The company plans to hire new employees over several years.

The governor’s overseas jobs mission paid off on the next expansion-

Behr-Hella Thermocontrol – The subsidiary of Germany-based Behr-Hella Thermocontrol GmbH, a designer and manufacturer of automotive and truck HVAC electronic controls, will invest up to $7.9 million to establish a new manufacturing facility in Wixom. Last August, the Governor met with company officials in Lippstadt, Germany to encourage the company to grow its presence in Michigan. The State projects up to 159 Michigan related new jobs, including between 32 and 70 directly by the company. A seven-year state tax credit, valued at $825,000, helped win the company’s investment over a competing site in Ohio. The city of Wixom is considering an abatement worth $315,000 over five years to support the project.

Dow Chemical received a brownfield credit, expanding the solar energy industry for the Midland area.

The Dow Chemical Company – A $1.7 million state brownfield tax credit will support the company’s new solar energy initiative announced by the governor last month in her 2008 State of the State address. The company plans to invest approximately $50 million in the project, which is geared to enable solar energy generation materials to be incorporated directly into the design of commercial and residential building materials (Building Integrated Photovoltaic – BIPV). Plans include a 7,500-square-foot addition and the installation of new machinery and equipment in Midland.

Can Hemlock Semiconductor be far behind? Stay tuned.

And finally, for the cities of Battle Creek and Grand Rapids-

City of Battle Creek – State and local tax capture valued at $1.3 million will support the expansion of the W. K. Kellogg Institute for Food & Nutrition Research in Battle Creek by nearly 160,000 square feet. Last month the facility was granted a 10-year Agricultural Processing Renaissance Zone as part of an incentive package approved for Kellogg by the city of Battle Creek and the MEDC. The benefits of the Zone include a ten year (seven-year full and three-year partial) exemption from property taxes on building and equipment located within the Zone. The $54 million expansion ($40 million for the facility expansion and $14 million for equipment) will include additional office space, additional pilot plant space for testing new food products prior to full-scale production, and additional parking.

City of Grand Rapids – Developer Stratus Properties LLC will use $333,750 in local and school capture and private investment of $4.5 million to strip out, completely renovate and build two stories of residential space on top of the 52-year-old Park Professional Building at 345 State Street S.E. in Grand Rapids’ Heritage Hill district. In addition, the existing parking deck will be updated. The mixed-use project, now called Heritage View Place, will house 20,000 square feet of office space and 14 condominiums and is expected to create up to 40 new jobs.

All of these projects are good examples of the kinds of jobs and companies that Michigan needs to attract –

Bridget Beckman, an MEDC spokeswoman, said the proposed jobs statewide may represent four sectors: homeland security/defense, alternative energy, advance manufacturing, and life sciences.

The jobs will “retain expertise, attract and grow business and talent, and promote Michigan as the best place to live, learn and earn,” she said.

We are on our way.

Monday found Governor Granholm at the NewPage Corporation’s paper mill in snowy Escanaba for a meeting to discuss the potential of building a plant that produces bio fuel from the waste of the paper pulping process.

Remember back in August, during her trip to Sweden, the Governor announced a partnership between Chemrec AB and the NewPage Corporation to study the feasibility of this technology in hopes of bringing a new bio fuels plant to the Escanaba area.

The plant would employ Chemrec’s black liquor gasification (BLG) technology, which converts waste from the paper pulping process into synthesis gas. The synthesis gas can then be processed into a variety of biofuels. It is estimated the technology could enable the Escanaba mill to produce up to 13 million gallons of liquid biofuel per year.

This plant would be the first of its kind in the United States, and it would certainly bring more jobs to the area. Business leaders and university representatives attended the meeting, and all are excited about the possibility of having this plant located in the UP.

After the meeting, the governor told the Daily Press, “The great thing about it is it suggests a whole economy.” In addition to construction and permanent jobs, a whole economy would build up to support the plant, she said. “It’s about creating a new industry in Michigan.”

Now is a prime opportunity for the state to capitalize on partnering with Sweden’s businesses because they are interested in investing in Michigan, Granholm said. The state has the natural resources as well as an available workforce she called “the best in the nation.”

For an explanation of the process, watch this video from WLUC TV6 that features Michael Fornetti, New Page Director of Engineering. It’s complicated technology, but he breaks it down for us.

Mike Fornetti, director of engineering at NewPage, said development of the new technology here would be an opportunity to help the community, state and country.

He explained the pre-feasibility study, expected to be completed in January, will evaluate the technical and financial aspects of the process. From there, a feasibility study would analyze capital costs followed by an engineering study on the site.

This is just one of the many areas in alternative energy that can and will bring new jobs and industry to Michigan. From the Governor’s Office yesterday-

“With our manufacturers being hit hard by the forces of globalization, we need to focus on industries with growing demand, like alternative energy,” Granholm said. “Companies like NewPage Corporation are already working to make their manufacturing processes more competitive while creating additional jobs through alternative energy development. This industry has limitless potential. We are going make sure that Michigan is the hub for that future growth and job creation.”

On Wednesday, Governor Granholm will travel to Washington DC to talk to federal Energy Department officials about this project.

Granholm on Wednesday will update Energy Secretary Samuel Bodman and the assistant secretary for energy efficiency and renewable energy on efforts to start a commercial black liquor gasification project in the Upper Peninsula.

Jonas Hafstrom, Swedish ambassador to the United States, and members of the Swedish consulate and the Michigan Economic Development Corporation also will attend.

Early next year we will be hosting the first-ever Sweden-Michigan Alternative Energy Summit, sure to bring more exciting ideas like this to our state!