- Benteler is investing EUR 17 million to expand steel tube production capacity in Germany.
- The new production line will increase automotive tube output by approximately 15%.
Benteler Group tube production expansion Germany marks a significant step in strengthening automotive component manufacturing capabilities in Europe. The company is investing approximately EUR 17 million to expand its tube production facility at Schloss Neuhaus in Paderborn. This strategic move is designed to meet rising demand for high-precision steel tubes used in modern vehicles while also supporting regional industrial growth. The expansion will additionally create around 30 new jobs, reinforcing the company’s long-term commitment to Germany as a manufacturing hub.
Capacity Expansion Focused on Automotive Applications
The project aims to increase production capacity for seamless and cold-drawn steel tubes, which are widely used in automotive systems. Key applications include safety-critical components such as airbag tubes and performance-related parts like rotor shafts. With this upgrade, the facility’s output capacity is expected to grow by approximately 15%, enabling more efficient supply to automotive manufacturers and Tier 1 suppliers. This expansion reflects increasing demand for durable, high-strength tube solutions in passenger vehicles.
New Production Line and Advanced Equipment Integration
The investment includes the installation of a new production line equipped with modern manufacturing technologies. A key highlight is the addition of a drawbench, scheduled to begin operations in May 2026. Alongside this, the facility will see enhancements in heat treatment processes and advanced systems for preparation, drawing, testing, and packaging. These upgrades are expected to improve production precision, operational efficiency, and product quality, aligning with evolving automotive industry standards.
Enhanced Manufacturing Capabilities
The integration of advanced machinery will allow better control over material properties and dimensional accuracy. Improved heat treatment capacity will ensure enhanced strength and durability of steel tubes, which is critical for safety and performance applications. The modernization of testing and packaging systems will further streamline production workflows, reducing lead times and ensuring consistent quality delivery across all output batches.
Existing Operations and Production Scale
The Schloss Neuhaus plant already operates at a significant scale, employing approximately 1,100 people and producing around 160,000 metric tons of tubes annually. With the new expansion, the site is set to further solidify its position as a key production center for Benteler Group. The increased capacity and technological upgrades will enable the facility to better support global automotive supply chains while maintaining high manufacturing standards.
This expansion underscores the company’s focus on scaling advanced manufacturing capabilities and addressing the growing demand for specialized steel components in the automotive sector.
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