Haldex to move EBS, air suspension production to Hungary
Swedish automotive industry supplier Haldex said on Thursday it will move production of electronic braking systems (EBS) and air suspension products to Hungary, shutting down its factory in Heidelberg, Germany.
Haldex noted in an earnings report that it had announced the closure of its plant in Heidelberg earlier in October. The move of production from the German plant to Hungary is expected to be fully completed by mid-2020, the company added.
"Haldexʼs European region has not managed to increase profitability to a level that meets expectations," the supplier said in a statement cited by automotive industry news site just-auto.com. "The expected economic downturn and the cost level in Germany has resulted in the decision to move production."
Haldexʼs Hungarian unit had net revenue of HUF 16.1 billion last year, Hungarian news agency MTI reported, citing public records. Headcount at the unit averaged 308.
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