American Rheinmetall is making a $31.7 million investment in Michigan, with the impact to include 450 new jobs in the state. 

Many of those new jobs will be in Auburn Hills, where the company plans to consolidate its current Sterling Heights headquarters and its related business operations in Troy. The announcement was made Tuesday by American Rheinmetall and Rheinmetall AG at the company's proving ground in Germany, coinciding with a tour and visit by Michigan Gov. Gretchen Whitmer.  

As part of the investment into Michigan, the company will set up a new headquarters facility in Auburn Hills, where it will consolidate its current Troy and Sterling Heights operations while expanding engineering and related work in support of new U.S. federal contracts.  

"We are honored they have chosen Auburn Hills for this strategic investment and we wish them all the best," said Brian Marzolf, Mayor, City of Auburn Hills.

The investment also will contribute to production and jobs at its facilities in Plymouth, Lapeer and Lansing. 

"Michigan continues to be an exceptional partner for American Rheinmetall as we grow our U.S. footprint to support critical defense programs and the needs of our customers in both the defense and agriculture markets," said Matt Warnick, CEO of American Rheinmetall.

American Rheinmetall specializes in systems and components for both military vehicles and commercial customers. Last year, the company acquired Loc Performance Products, a Michigan-based manufacturer of military vehicle components and rubber track products. 

Michigan was in competition with eight other states on this latest investment, state officials said, with the company citing location and workforce availability as key factors in the choice.