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BENTELER is investing EUR 17 million to expand steel pipe production in Paderborn

One of Europe’s leading steel pipe producers, BENTELER, is making a comprehensive investment in its Paderborn facilities in Germany.

BENTELER is investing EUR 17 million to expand steel pipe production in Paderborn

BENTELER’s Steel/Tube division has allocated around EUR 17 million to a major project at its Schloß Neuhaus plant aimed at increasing pipe production capacity. The investment is designed to meet growing demand, particularly from the automotive sector, while strengthening the company’s position as a leading producer across Europe.

Thomas Michels, COO of BENTELER Steel/Tube, stated: “With this investment, we are expanding production capacity for peeled and cold-drawn tubes used in automotive applications such as gas pressure tubes and rotor shafts. The expansion will allow us to increase our production capacity by around 15% and respond more effectively to rising demand.”

The investment includes a completely new tube drawing production line. The company will install a drawing preparation line, a new drawing press, expanded heat treatment capacity, and a combined straightening, inspection, and testing facility. Additional systems for quality control, protection, and packaging will also be integrated. The first unit, including the new drawing press, is scheduled to be commissioned at the end of May. Short-length cutting capacity will also be expanded.

According to Daniel Thewes, Managing Director of the Schloß Neuhaus and Paderborn plants, the expansion will create 30 new jobs. “With the increase in production capacity, we are creating 30 new positions and once again underlining our commitment to the Paderborn region. Currently, around 1,100 employees produce approximately 160,000 tonnes of pipes annually at the site, with about 250,000 pipes of various dimensions shipped daily to customers worldwide,” he said.

Tobias Braun, CFO of the BENTELER Group, emphasized that ongoing investments are part of the company’s long-term strategy. “Since 2022, we have been investing more than EUR 30 million annually in our Paderborn facilities. With this major investment in the Steel/Tube division in 2026, total investments will exceed EUR 50 million, highlighting the strategic importance of Paderborn for our group,” he noted.

BENTELER is also continuing investments in its automotive divisions. In 2026, a total of EUR 15 million will be allocated to BENTELER Automotive Components and BENTELER Automotive Modules, with around EUR 8 million dedicated to specific customer projects. In addition, the group will invest EUR 6.5 million in central digitalization and IT projects at its Paderborn facilities.

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