Knauf Insulation, part of the German building material company Gebr Knauf, has announced plans for a new manufacturing facility in Shotton, Wales, UK.

Knauf will invest over $225m (£170m) in the new site to support the growing advanced manufacturing cluster in North Wales. Initially announced in 2024, it will be the company’s second such site in the region after Deeside.

Knauf’s new facility will employ submerged arc furnace technology to offer non-combustible rock mineral wool insulation solutions. It is expected to have an annual capacity of 100,000 tons. Additionally, the site will add more than 140 jobs to the local economy.

The UK and Welsh government-backed North Wales Growth Deal and the Flintshire and Wrexham Investment Zone collectively support Knauf Insulation in this endeavour.

Neil Hargreaves, managing director of Knauf Insulation Northern Europe, stated that the new project aligned with the Welsh and UK Government’s industrial vision for North Wales and Deeside.

“Using UK-First Submerged Arc Furnace technology, the new factory will support the need for more energy-efficient and sustainable buildings,” he added.

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Secretary of State for Wales Jo Stevens described the move as “fantastic news” for North Wales and the UK government’s mission to drive economic growth.

“This is a vote of confidence in the Welsh economy and our government’s plan to make Britain the destination of choice for investment in industry,” she added.

Knauf Insulation operates 29 manufacturing sites in 15 countries. It has more than 6,000 employees globally. Additionally, it has announced investments in Romania, Croatia, and Wales in the past couple of years.