RENK increases U.S. production capacity for defense programs

Key Points
  • RENK Group announced a $150 million investment in Michigan through 2030 focused on defense manufacturing and research activities.
  • The investment will expand U.S. production capacity and create up to 270 jobs supporting military propulsion and mobility systems.

Michigan Governor Gretchen Whitmer and RENK Group CEO Dr. Alexander Sagel announced on February 13, 2026, that the German defense manufacturer will invest $150 million in Michigan through 2030, expanding its industrial and research footprint tied to U.S. military supply programs.

The investment includes $70 million in capital expenditures and $80 million dedicated to research and development between 2024 and 2030, according to the company’s announcement. The funding will support RENK’s existing operations in the state and expand production and engineering capabilities linked to propulsion and mobility systems used by U.S. and allied defense forces.

“Michigan is the birthplace of modern manufacturing, and RENK’s investments in the state reinforce our position as a leader in the future of defense,” Governor Whitmer said. “These critical investments bring job opportunities that will help Michigan families thrive and strengthen America’s national security.”

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Whitmer added, “Let’s keep working together to strengthen our defense industry, create good-paying jobs, and build an economy that works for everyone.”

RENK said the investment will create up to 270 new jobs in Michigan between 2024 and 2030. The company’s U.S. subsidiaries — RENK America and Horstman — currently employ more than 540 workers across facilities in Muskegon, Sterling Heights, and Roseville. The expansion is intended to strengthen those sites while supporting advanced manufacturing activity tied to defense production.

Dr. Alexander Sagel said the company views Michigan as a long-term industrial partner following earlier engagement with state leadership. “After meeting Governor Whitmer in Ann Arbor last year, I am honored to welcome her to RENK’s global headquarters and to reaffirm our commitment to serving as a trusted supplier to the U.S. military and allied forces,” Sagel said.

He added that the company continues to explore potential mergers and acquisitions opportunities within Michigan as part of its broader growth strategy, citing confidence in the state’s industrial workforce and manufacturing base.

RENK Group manufactures propulsion components, transmissions, and mobility systems used in military ground vehicles and naval platforms. These systems form part of mission-critical drivetrain and power transmission solutions designed for armored vehicles and other defense applications requiring high durability and precision engineering.

According to the company, the Michigan investment forms part of a wider effort to expand production capacity and innovation across its global operations while supporting defense industrial supply chains in the United States and allied nations. RENK operates five wholly owned subsidiaries across Michigan, Indiana, Ohio, and South Carolina, employing more than 700 workers nationwide.

Headquartered in Augsburg, Germany, RENK Group AG supplies propulsion technologies across military and civilian markets, including systems supporting armored vehicle mobility and naval propulsion. The company emphasized that its U.S.-based manufacturing operations deliver domestically produced components aligned with American defense procurement requirements.

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