Teesside car parts manufacturer, ElringKlinger (GB) Ltd is continuing to roll out its ambitious growth plans after securing several significant contracts with Jaguar Land Rover, which has seen upwards of 20 jobs created at the Redcar site and £6m invested in new machinery.
The firm has cemented its existing relationship with Jaguar Land Rover (JLR) with this additional work which involves the design and manufacture of unique heatshields and engine gaskets for the motor group’s newest engine plant in Wolverhampton
A modern press has been installed specifically to support the development of the project, which will lead to a further 20 jobs created during 2015, across all levels of the business.
JLR currently manufactures and sells more than 500,000 vehicles a year and the new partnership will see ElringKlinger’s engine bay heatshields fitted to each individual engine.
The contract will ultimately be worth in excess of £9m per year, equating to a £63m lifetime contract for ElringKlinger (GB).
The first range of parts are now in production at ElringKlinger’s recently extended 130,000 sq ft operation and the firm will be developing another phase of parts over the course of 2015 and 2016, to further support JLR’s programme requirements.
Managing director of ElringKlinger (GB), Ian Malcolm commented: “Given the unique shape and requirements of product the designs for these heatshields were very complex – requiring close co-ordination between Jaguar Land Rover’s designers and engineers from our own team.
“We have just completed the initial phase of the project and are now entering the first phase of higher volume requirements for Jaguar Land Rover, which will take us through to the end of the year.
Malcolm added: “I recently set us a target to double turnover from £17m to £35m in the next five years – when you consider that in 2009 that number was £8.5m, it’s clear to see how far we have come.
“Things are very positive for us on Teesside at present, we are continuing to recruit across all levels and our projects pipeline is looking healthy.
“Building on existing relationships such as the one we have with Jaguar Land Rover and other original equipment manufacturers, and continuing to invest in the business with resource and machinery will contribute considerably to this growth and our growing prominence as a successful North East manufacturer.”
