Speciality wheel supplier Starco is planning to improve and expand its Croatian manufacturing facility to meet the growing demand from OEMs, primarily for its products used in agricultural and industrial applications.
According to the company, there is a growing demand for its dual wheels and made-to-measure (MTM) products for the agricultural industry, from both private end users and major tractor manufacturers.
Starco anticipates that a 75% increase in capacity output will be necessary over the next four years across all wheel types – pressed, spun, made-to-measure and dual wheels.
“We will strengthen the current steel wheel manufacturing setup in Croatia by investing US$8.17m (€7.2m) over a four-year period, while investing in our team and processes,” said Richard Todd, CEO.
Key investments are already in place, giving excess capacity for pressed and spun wheels. In addition, the new MTM/dual wheel production unit has been operational since February.
“We have experienced a growing demand from farmers all over Europe for customized wheel solutions for their tractors,” commented Axel Werner, segment director for tractor and national distributors. “Also, the demand is growing, and partnerships are developing with major tractor manufacturers.”
Starco has been a market leader in duals for many years and it is hoped the strategic focus on partnerships with distributors and OEMs, in addition to the investments, will drive huge growth within this business.
”We will partner with the big tractor manufacturers, offering custom-made solutions, support with training, and development and documentation, strengthening our sales of dual wheels to farmers,” explained Werner.
The first round of upgrades in both equipment and facilities were completed ready for the 2019 high season. Work will be done gradually over the four years, but most of the changes will be implemented in the first few years.