Opel Invests EUR5M in Hungarian Plant

After Allison Transmission revealed it will be building a new production site in Hungary, located in Szentgotthard, Opel has also announced plans of investing EUR500 million to expand its operations here. The new plant will offer 800 jobs and will be expanded with the production of three new engine families.

Production of the engines will begin at the end of 2012. At full capacity, the plant has an output of 500,000 units annually.

 “The cutting edge technology planned with a new investment and the high degree of flexibility will make Szentgotthárd one of the most modern engine plants worldwide,” stated Reinald Hoben, Opel/Vauxhall Vice President Manufacturing.

The carmaker will build a family of small gasoline engines, a family of medium-sized gasoline engines and a family of medium-sized diesel engines at the plant. The new units will be installed in various Opel models, from the small Corsa to the mid-sized Insignia.

These power units will fulfill Euro 6 emissions standards, add direct injection to gasoline powertrain, secure a low power/weight ratio, provide smooth running and substantially reduce fuel consumption and CO2 emissions.

“Engine production will be highly flexible to an extent unprecedented so far. The high degree of adaptability allows a rapid change in production schedules so that Opel can respond to fluctuations in powertrain demand instantaneously,” a company statement reads.

“The plant will work according to the lean production system introduced worldwide within the GM manufacturing network which ensures maximum quality in every individual work step, a high degree of employee motivation, continuous improvement and just-in-time delivery of components and materials.”

The engines will be transported by rail to Opel/Vauxhall plants in Germany, Great Britain, Poland and Spain.