NYIREGYHAZA, Hungary—ContiTech A.G. has invested about $24.5 million in its Nyiregyhaza location during the past 1.5 years.
The plant has built a second rubber mixing line, a new semi-finished production facility (using calender technology) for air bellows and a production line for hoses for heating and cooling applications in cars, according to a ContiTech release.
It also constructed a warehouse for its Compounding Center and the construction of a logistics center is in progress, which will be used for air springs and hoselines.
The new facilities officially were commissioned on Jan. 23, with Magyar Levente, deputy minister of foreign affairs and trade, Menyhert Jaszai, deputy mayor of Nyiregyhaza, and ContiTech representatives from Germany.
The Hungarian government has invested more than $7.37 million to support the expansion, said Laszlo Jokay, managing director at the Nyiregyhaza plant. The investment has created more than 200 additional jobs, bringing the facility total to about 500 jobs.
"Five years ago, it was 220," Jokay said. "Over the next two to three years, we expect to create another 250 to 300 jobs once all of the new lines reach full capacity."
ContiTech employs a total of about 5,000 across its three locations in Hungary. It is also investing in the other Hungary locations.
The new logistics center for the Compounding Center, which will supply the other Hungarian locations, was commissioned in December. The new mixing line, which was built to satisfy demand, is currently starting its test mode. Hose production already has started, with capacity expected to double by the end of the year. The shared 48,000-sq.-ft. warehouse, which will store both hoses and air bellows, also is on course for completion by spring.