German ElringKlinger signed a pound 10m ($ 15m) supply contract with General Motors (GM) recently, which will supply custom auto parts for the latter.
The termination of the supply contract both side signed is 5 years. According to the contract, ElringKlinger will produce turbocharger heat shield and exhaust manifold gasket for GM. Therefore, the company invests pound 1.5m ($2.25m) to expand Redcar factory located in the east of Cleveland, England.
Redcar factory now has 140 staff. ElringKlinger will add a production line in this factory, and plans to employ another 60 staff. After the expansion, Redcar factory can produce 500,000 auto parts per year.
ElringKlinger expressed that they will also support the production of diesel engine for GM’s factory in Hungary. In addition, the company also signed a supply contract with MINI Brand of BMW Group, making they be the only company with a mass car insulation materials production in England.
