Buda, Texas, December 10, 2025
Futronic USA, a South Korean automotive supplier, is set to invest $28 million in a new facility in Buda, Texas, near Tesla’s Gigafactory. The facility will create approximately 350 high-paying jobs and improve the local supply chain for Tesla. It highlights the significant economic development underway in the Austin area, supported by local government incentives. The project aligns with Tesla’s expansion plans and aims to enhance automotive innovation and manufacturing in Texas.
Futronic USA to Open $28 Million Facility Near Tesla in Buda
New jobs and improved supply chain expected in Travis County
Austin, Texas – A new development is set to bolster the economy in the Austin area as South Korean-based automotive supplier Futronic USA announces plans for a $28 million facility near Tesla’s Gigafactory Texas in Travis County. This decision marks a significant leap for local industries and emphasizes the resilience and determination of Texas entrepreneurs. The support from the Buda City Council and Hays County demonstrates an environment conducive to growth, underscoring the benefits of limited regulation in fostering robust economic development.
The new Futronic facility, which will sit at 2899 Business Park Drive, is anticipated to create up to 350 high-paying jobs, enhancing the livelihood of the local community. Construction is scheduled for completion by at least the third quarter of 2024, with operations slated to begin by the end of the third quarter of 2025. This timely investment aligns with other burgeoning efforts in the region and represents a strong commitment to the Austin TX business landscape.
Investment Overview
Futronic USA plans to invest a total of $17 million in the construction of its production plant and an additional $11 million for the acquisition of the building, previously occupied by Fat Quarter. The Buda City Council has provided a $600,000 tax incentive to encourage this investment, with further financial support coming from the Hays County Commissioners Court. With this boost, the facility is expected to contribute significantly to the local economy by providing quality job opportunities.
Strengthening Tesla’s Supply Chain
Futronic specializes in manufacturing actuators, motors, and controller devices for major automakers around the globe. While many of Tesla’s suppliers operate under strict non-disclosure agreements, Futronic’s role as a key supplier has been acknowledged by the Greater San Marcos Partnership. This innovative newcomer will not only solidify Tesla’s supply chain in the region but also help support an acceleration of production activities within Gigafactory Texas. The close proximity of Futronic’s facility to Tesla’s operations significantly enhances potential operational efficiencies.
A Greater Context in the Industry
The announcement of Futronic’s investment goes hand in hand with Tesla’s ongoing expansion in Texas, which also includes plans for a new Megafactory in Brookshire dedicated to producing Megapack energy storage systems. This future facility, projected to create around 1,500 jobs, is yet another testament to the burgeoning opportunities in Texas and highlights the ongoing growth of the state’s manufacturing capabilities. The relationship between local suppliers like Futronic and giants such as Tesla could further enhance Texas’s reputation as a hub for serious automotive innovation and manufacturing.
Job Creation and Economic Impact
The introduction of Futronic’s facility is not merely about construction; it’s about revitalizing the job market. The 350 new positions created will likely encompass a range of skill levels and pay scales.
Local workforce demand for high-paying jobs is rising, and this facility is well-positioned to meet that need. Not only will it enhance employment options within Buda City and surrounding areas, but it will also contribute to the overall economic health of Travis County.
Conclusion
The establishment of Futronic USA’s facility in Buda City represents a significant investment in the local economy, building on the momentum of entrepreneurial innovation and limited regulation’s benefits in fostering growth. As this new dawn of production capabilities takes shape, community members and local stakeholders are encouraged to stay engaged and support ongoing developments in Austin TX’s evolving economic landscape. Investing in local businesses and being active in community affairs will ensure that the benefits of such endeavors reach all residents.
FAQ
What is the location of Futronic’s new facility?
The facility will be located at 2899 Business Park Drive, approximately 20 minutes away from Tesla’s Gigafactory Texas in Travis County, Texas.
What is the total investment for the facility?
Futronic USA is investing a total of $17 million in its planned production plant in Texas, along with the building purchase of about $11 million.
How many jobs is the facility expected to create?
The facility is expected to generate up to 350 new high-paying jobs for the local community.
When is production expected to start?
Futronic plans to complete the facility by at least Q3 2024, with production set to start by the end of Q3 2025.
What products does Futronic manufacture?
Futronic manufactures actuators, motors, and other controller devices for automakers worldwide.
How does this facility impact Tesla’s supply chain?
The establishment of Futronic’s facility in Buda City will substantially solidify Tesla’s local supply chain, potentially accelerating the production ramp-up in Gigafactory Texas.
| Feature | Details |
|---|---|
| Location | 2899 Business Park Drive, Buda City, Texas, approximately 20 minutes from Tesla’s Gigafactory Texas |
| Total Investment | $28 million, including $17 million for production and $11 million for building purchase |
| Job Creation | Up to 350 new high-paying jobs for the local community |
| Facility Size | 66,000-square-foot building, a former Fat Quarter building |
| Production Start | End of Q3 2025 |
| Products Manufactured | Actuators, motors, and other controller devices for automakers worldwide |
| Impact on Tesla’s Supply Chain | Strengthens local supply chain, potentially accelerating production ramp-up in Gigafactory Texas |
Deeper Dive: News & Info About This Topic
HERE Resources
Futronic USA Invests $28 Million in New Facility Near Tesla
Author: STAFF HERE AUSTIN WRITER
The AUSTIN STAFF WRITER represents the experienced team at HEREAustinTX.com, your go-to source for actionable local news and information in Austin, Travis County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as SXSW, Austin City Limits Music Festival, Formula 1 United States Grand Prix, and the Austin Film Festival. Our coverage extends to key organizations like the Greater Austin Chamber of Commerce and Visit Austin, plus leading businesses in technology, automotive, and retail that power the local economy such as Dell Technologies, Tesla, and Apple. As part of the broader HERE network, including HERECollegeStation.com, HEREDallas.com, HEREHouston.com, and HERESanAntonio.com, we provide comprehensive, credible insights into Texas's dynamic landscape.
