‘JLR effect’ not confined to the UK

THE expansion of Jaguar Land Rover is having a beneficial effect for companies in Europe – regardless of the UK’s vote to leave the EU.

Buoyed by the vehicle manufacturer’s commitment to a new plant in Slovakia, Spanish automotive supplier Gestamp has announced it plans to invest €100m in a new plant in the Nitra industrial park, Sever.

The plant will produce pressed car body components for the nearby JLR plant, once it is operational in 2018.

The move could lead to the creation of 400 new jobs and the plant will be Gestamp’s 96th production plant – and the 20th country in which it will have a presence.

JLR announced in December that it would become the first British carmaker to open a manufacturing facility in Slovakia after signing an agreement with the Government of the Slovak Republic to build a new plant in the city of Nitra, western Slovakia.

The new manufacturing facility will eventually employ around 2,800 people.

There had been concerns following the referendum vote that the manufacturer could shelve the scheme for the time being.

However, earlier this month it confirmed it would be pressing ahead with the scheme.

The expansion is just one part of the company’s global growth plan, which has been evidenced recently by the opening of its new plant in Brazil.

It is thought the Gestamp scheme could be the first of many other similar investments as the country looks to ramp up its supply chain ready for the arrival of the new car plant.