Austria-based Benteler Group has announced a €17 million investment to expand tube production capacity at its Schloß Neuhaus plant in Paderborn, Germany.
The investment is part of the company’s strategy to strengthen its Steel/Tube division and reinforce its position among Europe’s leading producers of seamless and welded steel tubes.
Capacity increase to meet automotive demand
The expansion is expected to increase production capacity at the site by approximately 15 percent, allowing Benteler to respond more efficiently to rising demand, particularly from the automotive sector.
The project focuses on seamless and cold-drawn tubes used in applications such as airbag tubes and rotor shafts.
New production line and equipment upgrades
The investment includes the installation of a new production line for drawn tubes, incorporating drawing preparation, a drawbench and additional heat treatment capacity. The project also covers integrated systems for straightening, testing and cutting, along with upgrades in quality control, preservation and packaging processes. The drawbench is scheduled to become operational by the end of May, while additional capacity for cutting short tube sections will also be introduced.
Currently, the Schloß Neuhaus facility produces around 160,000 mt of tubes annually, with approximately 250,000 tubes manufactured and delivered to customers worldwide on a daily basis.
Continued investment in German operations
Benteler confirmed its long-term commitment to the Paderborn region, highlighting sustained investment in its local operations. Since 2022, the company has invested more than €30 million annually, with total investments expected to exceed €50 million in 2026, driven by ongoing expansion in its Steel/Tube division.