Benteler group is pursuing further investment at its location in Paderborn, Germany, Kallanish hears from the maker of tubes and automotive components.
The group is lining up approximately €17 million (20m) for expansion of tube manufacturing at the Schloss Neuhaus plant in Paderborn. It is thereby responding to rising demand for seamless and welded steel tubes, particularly from the automotive industry, it says.
“With this investment, we are strategically expanding our capacities for seamless and cold-drawn tubes – especially for automotive applications such as airbag tubes and rotor shafts,” says Thomas Michels, chief operating officer of Benteler’s Steel/Tube division. He adds the expansion will increase production capacity at the site by around 15%.
The investment includes a completely new production line for drawn tubes with a drawbench, expanded heat treatment capacity, plus a combined straightening, testing, and sawing system. The line, to be commissioned at end-May, will be complemented by systems for quality control, preservation, and packaging, In addition, capacities for sawing short tube sections will be expanded.
The expansion will create 30 new jobs at Schloss Neuhaus. Currently some 1,100 employees at the site make around 160,000 tonnes/year of tube, which equals roughly 250,000 tube units per day.
Benteler’s Steel/Tube division performed “significantly better” in 2025 than in the preceding year, improving its adjusted earnings to €162 million, up from €116m. Stable demand in the energy sector as well as positive momentum in the North American business for tubes for the oil and gas industry supported performance, Benteler notes.
Together with the much larger Automotive division, the group lifted its operating profit by 8% to €641m, on revenue that remained roughly on par year-on-year at €8.1 billion.
