European Springs and Pressings
This project is about securing the long-term future of European Springs & Pressings' Cornwall manufacturing operation, significantly increasing its sales, productivity and profitability, and making it a key part of the Lesjofors Group's Automotive springs production process.
Due to unparalleled market demand in Europe for Automotive springs, the directors of Lesjofors are committed to investing into new manufacturing equipment for this sector. The preferred location is the company's existing factory in Sweden, which has the experience, skills, infrastructure and logistics to manufacture Automotive springs at a reduced cost to that of the Cornwall plant. Currently, the plant manufactures just 5-10% of the Group's Automotive springs for the motor sector aftermarket, but faced with a move to larger premises in the Autumn, placing the investment into Cornwall is now a consideration. The project investment will increase this contribution to 25% and will significantly enhance the site's turnover, productivity, and profitability, all of which will be used as key success measures.
This ERDF investment involves the purchase of three significant pieces of capital equipment that will make up the new Automotive springs manufacturing line.
The main investment is into a new coiling machine, quickly followed by a shot-peening machine and robotic transfer equipment. The coiling machine would be operational by January 2014 with the total line fully operational by March 2014. Faced with higher manufacturing costs than Sweden, the GBI grant is required in order to enable Cornwall to compete for the new equipment investment, and the directors have committed that a successful application would make the difference to investing in Cornwall.