Magtech Rotherham: Booming electric motor company near Sheffield eyes five new factories
An electric motor company has opened a factory near Sheffield - and announced plans for up to five more.
Magtec has officially launched its new facility at Temple Close, Rotherham, which is twice the size of its previous sites.
But head of commercial Jim Erskine said it was already looking for another site and could need up to four more if its rate of growth continued.
Magtec makes electric motors and drivetrain systems that can be fitted in trucks, trains and buses.
WHY IS TRADE TAKING OFF FOR MAGTEC?
Trade is taking off due to a worldwide clampdown on smoky diesels, including in Sheffield which is introducing a Clean Air Zone.
The firm employs 145, needs 50 new recruits and hopes to double sales to £30m next year. It could employ more than 300 by 2023 and have £300m turnover in four years, Mr Erskine added.
Magtec sells its systems to vehicle manufacturers. It also fits them into vehicles on its premises and is launching its own brand electric truck.
He said: “All these things will hopefully kick in at the same time and cause me a massive problem because we will have to find space for them.”
Suppliers could benefit from a £200m-a-year boost - 90 per cent are in the UK and 40 per cent are local - he added.
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Managing director Andrew Gilligan said they moved to Temple Close from sites in Rotherham to ensure they retained staff.
The company recruits engineers from local universities but is struggling to find fitters, machinists and other shop floor workers, he added. In January it is increasing their pay, holidays and bonuses.
Mr Gilligan said: “Magtec is investing in new plant and people to help us scale up and fulfil our potential. Our market-leading technology, which is designed and manufactured by highly-skilled engineers here in South Yorkshire, can drive the decarbonisation of the global transportation sector.”
It was founded in 1992 in Sheffield by owner and chief technical officer Marcus Jenkins. Orders include drive systems for bin lorries, autonomous trucks and the rail industry’s first conversion of diesel multiple units. It is also working with the army on hybrid military vehicles.