Stephenson, who has served as a non-executive director of the Coventry-based organisation for six years, begins a three-year term in the role after Sir Terry stepped down from the board.
Former Amey CEO Mel Ewell will also join the board, with the changes effective from October 1.
Stephenson and Ewell aim to continue the rapid evolution of the MTC, which has developed into a success story for the UK manufacturing industry since its launch in 2011.
Stephenson, who has witnessed first-hand the MTC’s growth, from a building site to a leading state-of-the-art centre developing cutting edge technologies, paid tribute to Sir Terry’s contribution.
He said: “I am excited to be following on from Sir Terry. We have been very lucky and honoured to have him as our first chairman. I share his excitement and enthusiasm for what has been created here, which is a real one-off demonstrating how industry, universities and government can work together to improve the competitiveness of what we achieve in the UK.
“Going forward for the next six years, we’ll be able to achieve even more. We’re broadening the sectors we work with, from our traditional areas like automotive and aerospace into the construction industry and other sectors such as building design and oil and gas.”
He added: “I’m looking forward to working with Mel. Until recently he was chief executive of Amey, which is also a member of the MTC. Mel is someone who really understands the MTC’s offer. He’s going to be a fantastic addition to the board, there’s little doubt about that.”
Ewell, spent 15 years at Amey – 13 of them as chief executive. He oversaw the sale of the company to Ferrovial and helped establish it as one of the UK’s largest engineering and infrastructure companies. He now aims to bring his expertise and knowledge to the MTC.
He said: “I was delighted to be invited to join the board and I am looking forward to building on the great work that’s been done over the past six years.
“I’m excited to build on that foundation and continue the remarkable success that has been achieved.”
Outgoing chairman Sir Terry, who was knighted in the 2016 Queen’s birthday honours list, reflected on the achievements at the MTC and its future growth.
“It has been a fantastic journey when you consider where we have come from in six years – from sitting on plastic chairs inside a Portakabin to the magnificent facility we have now.
“But it is not just about the facility, it’s also about the recruitment and retention of the best people to make it all possible.
“The MTC supports the very best there is in the UK and over six years it has be able to bring people to the centre and showcase what it’s capable of delivering with new technologies.
“I find myself talking about the MTC on a daily basis and I won’t stop talking about it just because I’m no longer involved.”
He added: “I am really pleased for Alex, who I’ve known for a very long time. The MTC is in safe hands and will continue to do what it does best.
“As for Mel, I have known him for 15 years and he will do a great job and play an important role in taking the MTC to the next step.”
Dr Clive Hickman, chief executive of the MTC added: “When you look at what we have achieved as a team over the six years it is unbelievable. Terry has been an integral part of that. As a chairman he has been extremely supportive.
“Alex will give us continuity and the aim is to carry on in the same vein. I’m sure Alex will be a very good anchor for the business going forward.
“I am also really looking forward to working with Mel as he will come to the board with a different set of strengths. It will be about combining these strengths for the long term benefit of the organisation.”