Leoni has started a second wiring systems production facility in Ukraine in the Western city of Kolomyia.

“I am happy to open this plant in Kolomyia, which is a positive sign for both the expansion of our company and the development of the Ukrainian economy”, said Leoni board member with responsibility for the Wiring Systems Division (WSD), Martin Stüttem.

The first part of the plant in Kolomyia has been built up within ten months and has a total production area of around 6,500 sq m, expanding up to 25,000 sq m to 2020.

Total investment in the buildings will amount to about EUR20m (US$23.5m). Leoni plans to hire up to 800 workers until the end of 2017 and by 2021 headcount will increase up to 5,000.

The new plant will produce harnesses and wiring systems for the automotive industry, mainly supplying carmakers and suppliers headquartered in Europe.

“During the next four years, Leoni will create up to 5,000 jobs in the Ivano-Frankivsk region”, said Leoni Ukraine managing director, Stephan Schmidt. “We consider the investment to be an important step for the development of the Ukrainian youth, which we believe has enormous potential.”

Leoni has already been operating a wiring systems plant in Ukraine, located in Stryi (Lviv region) since 2002. It is the largest Leoni plant in one building with a total production area of around 44,000 sq m and where more than 6,700 workers are employed.