DETROIT -- Two auto suppliers, with help from the state of Michigan, are investing $26 million and adding about 200 jobs at operations near Detroit.

The Michigan Strategic Fund this week approved grants totaling close to $1 million to Erae AMS USA Manufacturing and Concord Tool and Manufacturing Inc., the Michigan Economic Development Corp. said in a statement.

Erae AMS USA, which supplies driveline systems, chassis and electronics systems and components, plans to invest $17 million in a new manufacturing center in Pontiac to be closer to key customers. Erae AMS USA is a subsidiary of Erae AMS Co. of South Korea. The Michigan Economic Development Corp. is providing a $685,000 grant for the project, which is expected to create 137 jobs.

Pontiac, which was chosen over sites in Indiana and Ohio, is backing the project with a 50 percent property tax abatement, the Michigan Economic Development Corp. said.

Concord, of Mount Clemens, Mich., plans to expand its tool-and-die operations east of Detroit with an $8.8 million investment. The expansion will help the company serve its growing relationship with Toyota Motor Corp.

The state awarded Concord a $300,000 performance-based grant for the project, which it expects to create 75 jobs.

Concord President Mark Dichtel told Automotive News on Friday that the supplier needed to expand operations because it won three new programs from Toyota, including the Toyota RAV4, Highlander and Corolla. He also said Concord began hiring additional employees when it initially signed the agreement late last year.

The supplier is very close to hitting its goal of 75 employees, he said. Concord chose Michigan over Indiana, Kentucky and Tennessee.

“We were looking into the South Louisville area, including Georgetown, Kentucky,” Dichtel said. “We also looked into Evansville, Indiana, because the Highlander will be made there.”

The company supplies tool-and-die engineering and construction, stamping, projection and spot welding, and robotic welding.

"The City of Mount Clemens is thrilled to be continuing our relationship with Concord Tool as a prominent member of our business community," Mount Clemens Community Director Brian Tingley said in a state news release. "Their investment showcases the strength of the city and our successful economic development partnerships at the county, state and local levels."

Separately, the state awarded $350,000 to Ventra Evart. The company makes plastics, metals, lighting and mechanical assemblies at a plant in Evart, Mich. It plans to buy a building about a mile from the plant.

Officials from Ventra Evart and Erae AMS did not return calls from Crain's Detroit Business, an affiliate of Automotive News, seeking comment on the state-assisted projects.