Canadian electric bus distributor Damera is set to establish its first U.S. assembly plant in Peoria, Illinois, with an investment of $31.5 million, supported by state tax incentives. The new facility will produce the Karsan eJEST electric minibus and is expected to generate 90 full-time jobs initially, with future employment projected to reach between 300 and 500 positions once operations scale.
The project arrives as fellow electric bus maker Lion Electric auctions its shuttered factory in nearby Joliet. Damera, the exclusive North American distributor of Turkey’s Karsan electric buses, secured backing from the state through the Reimagining Energy and Vehicles in Illinois (REV Illinois) program. The initiative offers up to 75% income tax credit for EV manufacturers that meet job creation and investment benchmarks.
“The investment of more than $31.5 million—supported by state incentives—will expand [Damera] into our state and create 90 new full-time jobs,” said Illinois Governor JB Pritzker. “Through our competitive incentive programs, workforce development, and other business attraction efforts, the state is bringing in companies like Damera that not only create jobs and opportunity for our people, but commit themselves to our communities.”
While a specific construction or opening timeline has yet to be confirmed, the 55,000-square-foot facility will include assembly lines, quality control areas, battery assembly, testing zones, and administrative offices. The site will also incorporate infrastructure for EV charging and other sustainability-focused operations.
Damera plans to manufacture the Karsan eJEST minibus at the site, a 19-passenger fully electric vehicle with a range of approximately 130 miles. The company became Karsan’s exclusive partner in North America in 2022 and has been expanding its footprint as Karsan’s models gain traction in European and UK markets.