Volkswagen to invest 1 billion euros in Slovakia

Article by Christian A., on February 14, 2011

Volkswagen AG’s Slovak unit recently said that the company plans to invest EUR1 billion ($1.4 billion) in Slovakia in the next five years to boost car and parts production. The Slovak unit CEO, Andreas Tostmann, said the focus will be on new production technologies and increasing car production in the Bratislava assembly plant and car-parts production in the Martin factory.

One of the biggest exporters and investors in Slovakia, VW has invested more than EUR1.7 billion in the country over the past 20 years.

An export-reliant country, Slovakia has introduced structural market reforms over the past decade and attracted billions of euros of foreign direct investment, helping to make it one of the European Union's fastest growing economies. The VW plant near Bratislava produces SUV models, the Volkswagen Touareg, parts of the Porsche Cayenne, and Audi Q7.

Production of a new small family car is expected to begin later in 2011. The car industry, including units of VW, PSA/Peugeot-Citroen and Kia Motors, is a key driver of the EUR63 billion Slovak economy, which is expected to grow by around 4 percent in 2010 after shrinking in 2009.

Vladimir Vano, a senior Volksbank analyst, said that Slovakia is a “unique” destination for foreign investment and also that it has a strong position in terms of car production per capita in Europe. VW made 106,000 cars in Slovakia in 2009, down from 188,000 units the previous year. [via autonews - sub. required]

If you liked the article, share on:

Pin It

Comments

Recommended

Top Gear has revealed that for its “Stars in a Reasonably Fast Car” segment, it will now be using a slightly enhanced Toyota GT86, which in the U.S. market is...
by - March 24, 2017
Porsche is laying aside any plans of pushing another hybrid hypercar into their line-up -- at least not at this time. Oliver Blume, Porsche Global Chief confirmed in a recent...
by - March 24, 2017
Since 1993, Lexus has produced 4 generations of the Lexus GS, with the GS F amongst its newest member of the family. Unfortunately, rumors are also heating up that the...
by - March 24, 2017
In a leaked image following a presentation held in China, we learned that Czech automobile manufacturer Skoda will soon unveil 2 more new SUVs in China, resulting in a four-model...
by - March 24, 2017
McLaren is said to be designing the next generation of Sports Series, which could include a V6 hybrid among its powertrain options. It was earlier reported that the British automaker...
by - March 24, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries