Poppe & Potthoff plan €3 mln capacity expansion at Hungarian unit

Automotive

German auto parts maker Poppe & Potthoff plans to spend €3 million to expand capacity at its unit in Hungary, business daily Napi Gazdaság reported on Thursday.

The company needs the extra capacity to fill new orders, Poppe & Potthoff Hungária Bt’s director László Gellén told the paper. He declined to offer further details, but said the unit's parent company would make a decision on three big programs within weeks.
The unit will start supplying special parts for Caterpillar and BMW by the end of the year, Gellén said. Poppe & Potthoff Hungária will hire more staff to fill the orders. The company already employs 250 people, of which 50 were hired in 2006. Altogether, the German company has invested €35 million at the company. In March 2006, Poppe & Potthoff completed a €3 million investment at its unit in Hungary in order to outfit it for production of common-rail injection system tubes for delivery to Audi's unit in Győr.

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