LONDON - Tennex Europe is doubling the size of its main factory in Salisbury, UK, to meet new contracts.
A month ago, Tennex learned it would supply Toyota's Yaris supermini when it begins production in France in 2001. Since Bryan McGinity became managing director in April 1997, Tennex has added Toyota and Honda in the UK to its list of customers (others are Nissan, Ford, Rover, Volvo and Daewoo). Nissan owns more than half of Tennex Japan, the parent company.
Tennex makes combination intake manifold/air filters and engine covers.
Tennex will spend £23 million ($37 million) over the next three years on the factory and an r&d center. Sales for 1998 are expected to be £23 million, up from £18 million a year earlier. McGinity said about half the business required to justify the investment is already sold. He expects annual sales of £40 million in two years.
The investment will cover an additional 20 injection-molding machines by the end of next year, said McGinity. Tennex Europe had 23 a year ago and has 35 now. Employment will rise from 130 a year ago to 350, including about 35 r&d engineers, by the end of next year.