A €15 million (£12 million) investment is to be made by Constellium in its automotive aluminium site in Decin, Czech Republic.
The investment means that a new casthouse and extrusion line will increase production of hard alloys by almost 11,000 tonnes per year.
There will also be a new recycling facility for automotive aluminium on the same site.
Constellium automotive structures and industry business unit president Paul Warton said: “Constellium’s investment in the plant at Decin is a critical part of our strategy to fully capitalise on the growing demand for aluminium automotive structures and components that is mainly driven by light-weighting.
“This investment also paves the way for a new recycling facility at the Decin site, which will enable Constellium to deploy its innovative recycling technology. The facility will process and recycle aluminium scrap from Constellium’s key automotive customers in Europe.
“A key advantage of aluminium is that it is infinitely recyclable and retains all of its original properties throughout the recycling process. These properties make aluminium an environmentally responsible and economical choice.”