Vitesco Technologies to build a CZK 4.7 billion plant in Ostrava

by   CIJ News iDesk III
2024-01-25   12:19
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Vitesco Technologies, a leading international manufacturer of automotive propulsion technologies and electrification solutions, will build a new plant in Ostrava at a cost of CZK 4.7 billion. It plans to start operations at the end of this year. In the first phase, 150 people will work there, operating fully automated production and warehouse facilities, the company announced today.

"This is part of Vitesco Technologies' plan to invest a total of CZK 14.4 billion in sustainable mobility in the country by the end of 2027," the company said.

The production plant with a fully automated logistics centre will be located in the Hrušov district of Ostrava on an area of 38,000 square metres. "In the first phase, the plant will be staffed by 150 employees, the number of which will continuously grow until it reaches a full capacity of over 1,000 people in 2027," the company said.

The plant's main products will be high-voltage electronic devices for electrifying the powertrain of cars, which will be sourced by leading European automakers. "Vitesco Technologies will develop high-tech high-voltage electronic products for pure battery electric vehicles for them," the company said. The latest technology will also be used in the plant itself, which will have a high degree of robotics and process automation.

"This unique and technologically very complex power electronics system, integrating a voltage converter, on-board charger, fast charging module and power distribution unit in one place, is a perfect example of the transformation of vehicle architecture away from combustion systems. It is a completely new element developed and designed exclusively for electric vehicles," said Lukáš Rosůlek, Managing Director of Vitesco Technologies.

The government on Wednesday approved an investment incentive for the company worth CZK 528.6 million. "My long-term goal is to contribute to the adaptation of the Czech economy to the ongoing economic transformation. That is why we need to support investments in technologically advanced projects with high added value that will help us to do so. I believe that expanding the production of hi-tech components for cars at Vitesco Technologies will contribute to this," said Minister of Industry and Trade Jozef Síkela (STAN).

The new plant will involve other local companies in the supply chain. "For example, semiconductors based on silicon carbide will be supplied by onsemi Rožnov pod Radhoštěm. The two companies have previously announced a global cooperation worth €1.75 billion (almost CZK 43.5 billion)," the company said.

Vitesco Technologies develops and manufactures propulsion technologies for sustainable mobility. Its portfolio includes electric drive systems, electronic control units, sensors and exhaust gas recovery solutions. The company, which is headquartered in Regensburg, Germany, operates at around 50 locations worldwide and employs around 38,000 people. In 2022, it achieved sales of 9.07 billion euros (roughly 225 billion kronor).

Source: Vitesco Technologies and CTK
Photo: Vitesco Technologies