That's the claim out of Alabama.

The governor announced this week that the Korean automaker is bolstering its new technology center in Superior Township, investing $94 million and creating 600 additional jobs.

That's great news, particularly since the jobs Hyundai is creating are exactly the kind of employment Michigan covets to replace its shrinking manufacturing base.

As part of the deal with Hyundai, the Michigan Economic Development Corp. provided a $32.6 million, 20-year tax credit, and Superior Township kicked in a 12-year, $12.1 million tax incentive.

By law, the MEDC can only offer tax breaks if Michigan is competing with another state for a facility. In the press release announcing the expansion, Gov. Jennifer Granholm said Michigan won the center in competition with Alabama.

But Alabama claims it was never in the running.

A spokesman for the Alabama governor's office told a Montgomery television station that Granholm made a false claim. "You can't lose something you never bid on," says Jeff Emmerson.

The station also quoted a local Hyundai spokesman as saying that Alabama was not considered for a technical facility expansion.

Michael Shore, spokesman for the MEDC, produced documents that indicate Alabama was indeed considered. A site consultant used by Hyundai also said Alabama was a contender, but may not have known it because the project used a code name.

Wherever the truth lies, the bigger issue is that Michigan should not be in the position of having to pay tax-break poker to win high-tech auto industry jobs that should be flowing here naturally.

The state can remain the automotive capital of the world, even as its factories close, if it captures the fast-growing automotive technology sector. Michigan's human resources give it a considerable advantage in pursuing those jobs. Most of the nation's automotive engineers and designers are located here, as are most of the automotive research centers. That synergy should serve as a magnet for anyone looking to open such a facility.

It would have made little sense for Hyundai to open the center in Alabama and then import workers from Michigan to staff it.

That's what makes the tax breaks so questionable. Hyundai needs Michigan as much as Michigan needs Hyundai.

But even with the advantages of a highly skilled automotive work force and the critical mass of research centers, the state still feels compelled to deal out tax incentives.

What that indicates is what we already know: Business taxes in the state are not competitive.

As it looks to its automotive future, Michigan must craft a tax structure that makes the state irresistible to those creating automotive technology jobs.

The negatives of high taxes should not be allowed to wash away the positives of a highly desirable work force.