Skoda KvasinyCzech Republic – The plant and surrounding public infrastructure are to be modernised and expanded over the next three years, after the OEM signed a memorandum of cooperation with the government and the Hradec Králové authorities.

Skoda will invest 7.2 billion CZK ($298m) in the Kvasiny site by 2018, boosting capacity to 280,000 vehicles per year and increasing the workforce by 1,300 individuals. It is expected that the expansion will create a further 400 jobs among local subcontractors.

“Kvasiny will be experiencing the most comprehensive modernisation and expansion in its 81-year history,” said Skoda’s CEO, Winfried Vahland, adding that the company is “delighted with the planned infrastructure measures”.

Skoda has already made significant investments at the site, including new production technologies, assembly and logistics areas for the recent production launch of the new Skoda Superb; around 1.7 billion CZK was spent on car body production alone. Turning out Skodas since 1947, Kvasiny now also produces the Yeti and Roomster, making a total of 166,200 vehicles last year.