German gardening equipment manufacturer Stihl plans to further expand its EUR 125 million factory in western Romania and develop the site into a European hub for battery production, Chairman of the Executive Board Michael Traub said on May 20 during the group’s annual financial results press conference. The company inaugurated the facility in Oradea in October 2025 to produce batteries for the European market.

Traub said the Romanian plant has become a strategic production base for the group’s ALLPRO battery system in Europe, while similar production will also be established in the United States and Asia under a “local-for-local” strategy.

“I can assure you that Oradea is where we produce ALLPRO for Europe. It is a very important location for us, as a base for the growth of this new battery system,” Traub said in response to a question from Ziarul Financiar regarding possible expansion of production activities in Romania.

He added that no decision has yet been taken on manufacturing gardening equipment powered by the ALLPRO batteries at the Romanian site.

“We will produce ALLPRO in the United States and in Asia – it is a local-for-local approach,” Traub said, describing the Oradea facility as the key source for supplying the European market.

The Stihl executive also indicated that the company intends to continue investing in Romania, although any expansion will depend on the performance of the initial investment.

“We have enough space, we are very happy with the location and the support we receive from the Romanian authorities, and Romania is where we produce our battery products for Europe,” Traub said. “More investments will come at the right time - first we need to get the return on the first investment, the EUR 125 million, and then we will see."

The Oradea investment marked one of the largest recent greenfield industrial projects in western Romania and reflects growing interest from international manufacturers in expanding battery-related production capacities in Central and Eastern Europe.

iulian@romania-insider.com

(Photo source: the company)