Elringklinger to invest £7m in Redcar factory

A Teesside automotive parts manufacturer has set out ambitious plans to expand its Redcar factory and is in the final stages of progressing its planning application for a 4,000sqm site extension to its existing site on Kirkleatham Business Park.

Following considerable investment in June, which saw the installation of a £1.5million four-part production line, ElringKlinger (GB) is set to invest a further £7million in the proposed factory expansion – a portion of which is to be financed by the Let’s Grow Regional Growth Fund.

This funding will contribute more specifically towards the new production lines required to support the company’s thriving order book, which will enable capacity for approximately 2.5million underbody heat shields per annum.

Work is expected to begin on-site with immediate effect to ensure the new building is fully operational by early 2014, in time to mark the company’s 50th year on Teesside.

Ian Malcolm, managing director of ElringKlinger (GB) Ltd, said: “Our plans to invest in the expansion of our site reflect our current position as a major supplier to the global automotive industry – we are entering an exciting phase of our company’s history, so it is certainly timely that this milestone coincides with our 50th year of business on Teesside.”

Originally built in the 1990s, the existing building will be extended by around 50 percent of its present size, and will match the overall look and feel of the existing factory, remaining in-keeping with the business park’s surroundings.

Currently employing over 150 staff, ElringKlinger (GB) is already a key employer for the Redcar area, and this expansion will provide a considerable number of employment opportunities for local people and the wider area.

Ian concludes: “The local community continues to be a huge part of our next stage of growth and we are 100 percent dedicated to providing jobs and training opportunities for local people.

“We are working closely with Redcar and Cleveland Council to process this application for expansion of the existing building that would allow ElringKlinger (GB) to continue to grow what is a successful business and provide ongoing local employment and a lasting legacy for the Redcar community.”