WEST POINT, GA—A South Korean auto parts supplier will invest more than $240 million to build a transmission assembly plant here.

Hyundai Transys plans to build the new plant next to its existing factory in West Point, which is also home to Kia Motors’ assembly plant. Kia and Hyundai Transys are both parts of Hyundai Motor Group, the Korean auto conglomerate that sells cars under the Kia and Hyundai brands.

The new Hyundai Transys plant will build eight-speed transmissions. The 620,000-square-foot plant is expected to create 165 new jobs, which will boost the supplier’s employment in Georgia to more than 1,700 people.

Many supplier plants are clustered near Kia plant in West Point and the Hyundai Motor Manufacturing plant in Montgomery, AL. In Georgia's Troup County alone, suppliers to the two OEM facilities employ more than 4,300 people.