Continental, a leading German manufacturer, announced plans in February to deepen its commitment to pioneering advanced driver assistance systems (ADAS) with a new 215,000-square-foot manufacturing facility in Texas. While product specifics are thin at this stage, the company sees the new factory as an investment to help it meet growing demand for ADAS the world over. Safety systems, in particular, will figure prominently in the production mix. Continental, which supplies an array of components to automakers, will build the new facility in New Braunfels, Texas, just 15 miles from another plant it operates in Seguin.
Production Alongside Innovation
Company executives were quick to emphasize that this site, while a production center first and foremost, will focus heavily on research and development.
“Having a facility specifically dedicated to the development and production of these technologies is a major step in helping us achieve our vision of a world with zero fatalities, injuries and crashes,” said Continental North America CEO Samir Salmon.
Demand driven by existing technologies is strong and growing, but Continental hopes to use the New Braunfels site to build the next generation of ADAS concurrently.
Timeline and Scope
The scale of the investment in Texas will take time to play out, but the company tentatively plans to invest roughly $100 million in the development. Construction will kick off in the first quarter of this year, with production beginning sometime in late 2021. The decision to build in Texas will retain 450 jobs for the state while adding roughly 130 completely new roles. For context, the 320,000-square-foot plant in nearby Seguin employs over 1,500.
“We are happy that Continental decided to call New Braunfels home,” said Mayor Barron Casteel. “This new facility will bring many exciting opportunities to the city, including new jobs in engineering and manufacturing. Our residents are ready to welcome Continental, and we look forward to our continued collaboration.”