Trelleborg industrial group of Sweden has opened a 50-million-kroon (EUR 3.2 mln) plant manufacturing metal and rubber products in Kuressaare, capital of the western Estonian island of Saaremaa.
The industrial group that boasts annual sales of 50 billion kroons found its way to Saaremaa thanks to the Saare Martex company, which used to manufacture rubber components in Kuressaare earlier. Its employees now work at the Trelleborg plant.
The plant's product range includes different items made from metal and rubber.
"We make a variety of products that dampen, protect and seal. We don't have just one product, there are about 400," manager Juho Nomm told ETV evening news on Thursday.
The managers have set their sights on an outlook of 5-10 years and the plant is not afraid of a possible decline of the eceonomy.
Speaking at the opening, Swedish Ambassador Dag Hartelius said the investment by Trelleborg showed that Swedish businesses were not on their way to leave Estonia.
He said that in the globalizing world businesses moved when they needed cheap labor, opting for countries such as India, Ukraine and China. Countries such as Sweden and Estonia meanwhile benefit from their highly skilled labor, Hartelius said.