South Korean auto parts manufacturer Iljin Alabama plans a $15.8 million expansion at its Phenix City plant that should create 60 jobs within two years.

The expansion of the facility at 14 Downing Drive, in Phenix Industrial Park off U.S. Hwy. 431, was announced Friday by Phenix City Mayor Eddie Lowe, City Manager Wallace Hunter and Finance Director Steve Smith.

“I hope what everybody realizes is when you start talking about capital improvement of over $15 million, that shows that they do have confidence in our city and our market,” Lowe said. “We are certainly appreciative of that.”

It is the second expansion for Iljin Alabama since locating in the city in 2010. It employed 58 initially and pledged to create 23 jobs and a $3 million capital investment in March when a second production increase was unveiled. The latest addition will bring it to about 140 employees by 2016.

“They’re adding industrial manufacturing space, as well as warehousing space,” Smith said. “The warehousing space will free up space in their current building to add additional lines.”

No Iljin executives were at the announcement, held at the city’s municipal building.

Smith said Iljin Alabama has added contracts with U.S. automakers General Motors and Ford to boost its wheel bearing business. It already supplies parts to Hyundai and Kia.

Hyundai’s mother plant is located near Montgomery, Ala., while the main Kia factory is in West Point, Ga. The Kia plant also assembles the Hyundai Santa Fe sport utility vehicle.

The city is proposing incentives that include a 10-year tax abatement on non-educational property taxes for new equipment and construction connected to the expansion, Smith said. That’s valued at $772,000 over the 10-year life of the agreement.

“The incentives we’re providing are the standard incentives we’ve provided any industry that’s come,” he said. “Columbus does the same thing, and virtually every city does this to bring in new business.”

The incentive package will be presented to Phenix City Council at a work session Monday, with it coming before council for a vote at its meeting Tuesday morning.

Lowe and Smith said they understand Iljin is moving a portion of its production from a plant in South Carolina to Phenix City. The company announced in 2008 plans to open an industrial bearing factory in Greer, S.C., in the northwest part of the state near the Greenville-Spartanburg International Airport.

“One of the things we liked about Iljin in the first place is they have a history — after they come to the area — of expanding once they get there, not just building a plant and that’s it,” Smith said.

The engineering phase of the just-announced expansion is under way, he said, with construction on the addition unveiled in March now taking place. Hiring for the 23 employees pledged as part of that work will begin next year, with more construction taking place next year in advance of hiring of the 60 workers in early 2016.

There will be a starting training wage of $9 per hour for employees during the first 90 days on the job, Smith said, with that rising past $10 per hour after that, with full benefits.

“I would like to sit here and say this is going to employ everyone from Phenix City,” Lowe said. “But we know that is not the real world. It’s going to employ people from this bi-city and from this area that will spend money in Phenix City. When you look at it, it’s a win-win for us and we are very appreciative of it.”

The mayor dismissed naysayers in the community who suggest the city isn’t bringing in enough jobs or the right kind of jobs. He expects Iljin and its high-tech work force to have a long-term presence locally.

“We’re going to continue to move this ball down the field. We’re going to continue to be positive,” Lowe said, using the city’s tagline, “Positively Phenix City!”

After its expansion, Iljin’s 140 workers will make it one of the larger private employers in the city. But it still is far behind Alatrade, the chicken-processing operation in Phenix Industrial Park. That plant has more than 600 people on its payroll.