Auto-industry supplier inaugurates new plant

Small-batch piston production plant opening in Chabařovice

© 2015 KSPG AG

MS Motorservice Chabarovice © 2015 KSPG AG

After a construction period of just one year, MS Motorservice International GmbH, which belongs to auto-industry supplier KSPG AG, has set up a new plant for the production of small pistons on a site of around 50,000 m² in Chabařovice, Czech Republic. The location has now been officially inaugurated.

The new facility of this international aftermarket specialist has a production area of 4,500 m² and a workforce of 42 which, as business progresses, will rise to around 60 by year end and even higher next year. The new plant represents an investment of double-digit million euros.

The global first-tier auto-industry supplier KSPG and member of the Rheinmetall Group now has altogether three production sites in the northwest of the Czech Republic. Metal in Ústí, a piston plant with a longstanding tradition, has been run by KS Kolbenschmidt since 1995. In 2005, a further plant has been added, where the affiliated company Pierburg manufactures such products as eco-friendly exhaust-gas recirculation and secondary air systems as well as exhaust gas flaps.

KSPG AG CEO Horst Binnig comments: "This location on the river Elbe is becoming more and more important for us. With a planned output of 12 million units per year, this is one of our biggest piston plants, and construction work is continuing. Pierburg, too, has significantly grown with two additions and established itself as a significant member of the auto-industry supplier sector in this country. In all, the KSPG Group has since 2004 spent around €130 million or CZK3.5 billion in the region."

The new plant at Chabařovice will produce high-tech pistons for the world markets. Because of their extremely complex production process, these pistons are often manufactured in relatively small batches. Nonetheless, the close proximity of the two piston plants to each other will help boost combined workloads and productivity. Moreover, the use of the infrastructure of the large sister plant will generate benefits in the production of the small-batch pistons.

The KSPG Group has a workforce of around 1,200 in the Ústí region. Sales in 2015 will probably total €360 million or some CZK9.7 billion.

Source: KSPG AG