Rexroth is the first company to be supported by the Romanian government in a new program designed to bring jobs to the European country.
The first state grant brings an influx of 16.6 million euros, over $18 million, to expand the current factory in Blaj. Rexroth will be matching the grant with funds for the expansion. The government reckons the project will create 568 jobs and bring 19 million euros back to the local economy.
Since 1994, Rexroth has invested 180 million euros in its Romanian operations so far, and employs about 2,400 workers. More than 600 are currently at the Blaj plant, creating drive and motion control technologies for the European market.
Romania is betting that an investment in a company like Rexroth will pay off in the long run, and that bet is based on very strong evidence.