VAT Romania breaks ground on factory in VGP Park Arad

Business Forum
VAT Romania broke ground for its new factory located in VGP Park Arad, a strategic logistics hub adjacent to the A1 motorway and key European routes. VGP Park Arad stands out with its modern infrastructure and green energy options, providing a significant logistical advantage for efficient manufacturing and distribution operations. The new location is designed to accommodate the mid-term growth projections and meets the increasing demand and technical complexity of the product portfolio.

The manufacturing facilities, offices and an employee canteen will be united under one roof of more than 21,000 sqm. The building will be certified following the BREEAM (Building Research Establishment Environmental Assessment Methodology) sustainability standards for green buildings, and will aim for the Excellent level of certification. The new facility will be fully operational by early 2026 with an expected move-in date in the second quarter of 2025 – ensuring a smooth transition and minimal disruption to the ongoing operations.

Urs Gantner, CEO of VAT Group, Thomas Berden, COO of VAT Group, and Alin Cretu, General Manager of VAT Romania, welcomed those present to the groundbreaking event.

Urs Gantner described the new building as the third lead production facility for VAT globally, alongside the Swiss headquarters and Malaysia facility. He said he was thrilled by the great location of the new factory, which sparked many ideas on how VAT can grow in Romania over the next decade and benefit from the latest technical infrastructure.

Thomas Berden emphasized the importance of VAT's site in Romania as a preparation for the future ramp-up supporting capacity management and supply chain development. He expressed his gratitude for the excellent operational execution of current activities and the team spirit and commitment of the VAT Romania employees.

Alin Cretu assessed the project as an important milestone for the future growth of VAT Romania, while also supporting the VAT Group strategy for the years to come and expressed his gratitude to the project's partners. “A key success factor for this project is our great partnership with VGP and ICCO, who have been working with us closely to bring it to life and further improve and develop it into a factory of the future in terms of technical capabilities and sustainable operations,” Alin said.

The ceremony was also honored by the presence of top management representatives from the developer VGP (see ‘About VGP ', below), including Jan Van Geet, CEO of the VGP Group, Dana Bordei, Commercial Country Manager VGP, Tomas Van Geet, Global Commercial Director, and Rolf Carls, Chief Technical Officer.

The investment in the growth of VAT Romania will create many job opportunities in areas with highly technical competencies such as mechanical engineering, automation, CNC turning and milling, as well as support functions. The plant will also host engineering, IT and other functions that go beyond the ‘pure' manufacturing scope, and which support the build-up of further competencies required for a lead factory.

After the speeches, guests and local managers visited the construction site. To symbolize the future of the facility, a time capsule manufactured by VAT was sunk into the ground containing the construction plan signed by the VAT Romania team, a brick from Fatima for good fortune and a local newspaper. Each guest received a small traditional gift of handcrafted pottery ceramics made using a special technique passed from generation to generation for the past 300 years, and which marks both today's ground-breaking and the fifth anniversary since the company proudly changed the name into VAT Romania.

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