The Stellantis automotive group is investing EUR 180 million (CZK 4.6 billion) in its Slovak factory, which will also receive a new production program from 2023. Prime Minister Eduard Heger and Stellantis race director Martin Dzama tannouced yesterday. The automotive industry is the main engine of the Slovak economy, which is the largest car manufacturer per capita in the world. Stellantis in Trnava in the west of the country manufactures Citroën C3 vehicles as well as the Peugeot 208 model, including its electric version. Last year, due to the effects of the coronavirus crisis, the plant reduced production by nine percent year-on-year to approximately 338,000 cars. This year, the factory repeatedly interrupted production due to a lack of chips. "This is not a relocation of existing production, it is a new production program. I believe that it will fill our production capacity with 400,000 vehicles a year. If we do not acquire a new production program, employment would be jeopardized," said Dzama. He added that part of the new production from the so-called segment B, ie small vehicles, will be in the electric version. He did not give details of the new production at the factory. The Slovak division of Stellantis employs around 4,000 workers and has invested EUR 1.2 billion (over CZK 30 billion) in 15 years of operation in Slovakia . Fiat Chrysler Automobiles and PSA merged into the Stellantis group at the beginning of this year. Last year, Slovak Stellantis (formerly Groupe PSA Slovakia) expressed concern about its future if, given the declining competitiveness within the group, it does not acquire the production of another model. The company has repeatedly pointed out high electricity prices in Slovakia compared to other EU countries. According to him, the conclusion of a four-year collective agreement with a local trade union also contributed to the acquisition of the new investment. "This investment is very important for Slovakia. The backbone of the economy is the automotive industry," said Heger. He added that Stellantis had submitted a request for incentives to the state in connection with the said investment, the Prime Minister did not provide further information with regard to the expected negotiations in this matter. In addition to Stellantis, Jaguar Land Rover, Kia and Volkswagen also have plants in Slovakia . Last year, he announced an investment of approximately EUR 500 million (CZK 12.8 billion) in the production of a new generation of Škoda Superb and Volkswagen Passat models in his factory in Bratislava. Last year, 990,598 vehicles rolled off the production lines of the aforementioned Slovak factories, which was a decrease of 10.6 percent compared to the previous year. This month, the Slovak Association of the Automotive Industry estimated that car production in the country could return above the level of one million vehicles this year. Source: CTK