£12m factory underlines importance of FDI to Birmingham economy
One of the latest examples of foreign direct investment benefitting Birmingham’s economy has received its official opening.
German-owned toolmaker Guhring has invested £12m in the its new base at Aston’s Advanced Manufacturing Hub.
The new factory, which will be the firm’s UK headquarters, has led to the creation of 50 jobs and safeguarded a further 75.
The firm, which supplies precision cutting tools, counts BMW, JLR, Ford, Nissan, Airbus & BAE Systems amongst its global clients.
Further investment may well follow as the company has made no secret of its desire to expand.
The plan is to double the size of the UK operation within the next five years, creating more skilled and entry-level positions.
The official opening was marked by an a launch event attended by 250 people including newly-elected Mayor of the West Midlands Combined Authority, Andy Street; the leader of Birmingham City Council, Cllr John Clancy; UK Head of Manufacturing at Lloyds Banking Group, David Atkinson; Professor Carl Chinn, from the University of Birmingham and Birmingham-born actor, David Harewood.
The building was officially opened by Dr Joerg Guehring, chairman and CEO of the Guehring Group; the manufacturer’s parent company based in Albstadt, Southern Germany.
Mike Dinsdale, managing director of Guhring, said: “The UK was Guhring’s first location to create a subsidiary outside of Germany. Now the group has in excess of 70 similar production and service operations throughout the world.
“Creating a new facility in Birmingham is a major step towards meeting the company’s strategic focus to strengthen our global presence. Guhring’s new UK headquarters will allow the company to further expand both its manufacturing, regrinding and R&D offering and serve our global client-base.”
The AMH is one of six Economic Zones in Birmingham established by Birmingham City Council. The site is designed to accelerate growth specifically within the advanced manufacturing sector, by offering incentives such as simplified planning, gap funding and recruitment support.
Cllr Clancy said: “The AMH is designed to capitalise on the region’s high value-adding sectors and drive inward investment that creates inclusive economic growth and jobs for all. With Greater Birmingham outperforming every UK region in attracting foreign investors, it is clear our strategy is working.
“Not only is Guhring’s investment testament to this – it highlights the strength of the region’s industrial legacy, the strength of the region’s talented workforce and the potential that exists in the region for growing companies with a bold, global vision.”
Guhring represents the second foreign direct investment (FDI) project into the AMH, which has already attracted Hydraforce – a US hydraulics manufacturer, which opened a new 120,000 sq ft factory there last year.
