Ohio-based auto parts supplier building $127M manufacturing plant in Seguin

An Ohio-based automotive supplier is planning to build a $127 million facility, joining the growing manufacturing hub in Seguin.

KTH Texas Inc., which specializes in producing and supplying underbody structural parts for global brands, plans to create a minimum of 125 full-time jobs in Seguin by the end of 2030. That number could grow to 173.

Seguin's City Council approved more than $3.6 million in tax breaks for the company - a 10-year property tax abatement worth $3.58 million and a sales tax abatement of more than $35,000.

While specific wages were not disclosed in its request for the tax breaks, the company said it will offer workers average pay levels in Guadalupe County. The hourly wage for workers in the San Antonio-New Braunfels metropolitan area amounts to $28.58, according to the U.S. Bureau of Labor Statistics.

The KTH facility will be built on more than 40 acres at Seguin Exchange, a 544-acre mixed-use project being developed by NewQuest. It will be part of the light industrial component of the project, located off Interstate 10 and FM 78.

KTH Texas is part of KTH Parts Industries Inc., which has four locations in North America, with two in Ohio, one in Alabama and another in Ontario, Canada. Its Japan-based parent company, H-One, operates an additional 18 global facilities. Since 1985, it has produced metal-stamped and welded undercarriages through a full in-house, design-to-production manufacturing model.

Construction on the facility will begin by March 31, 2027, with the automotive supplier pledging to make a $100 million capital investment by the end of 2028. Operations are slated to start by the end of 2028. It estimates that it will generate around $1.5 million in taxable sales once at full production.

The facility adds to Seguin's automotive supplier hub, with global companies like Continental Automotive Systems and Vitesco Technologies among the area's major employers.

The city's manufacturing footprint has been booming, with more than 8,000 manufacturing jobs, accounting for a third of Seguin's total workforce.

Last week, Caterpillar announced at its Seguin facility, alongside Gov. Greg Abbott, that it is investing $5 million to strengthen the talent pipeline for advanced manufacturing jobs in Texas.

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This story was originally published July 8, 2026 at 7:04 PM.