Chinese wire maker to launch magnetic-conductor plant in Czechia

A leading Chinese manufacturer of magnetic conductors, Gold Cup Electric Apparatus Co., Ltd., has committed more than CZK 2 billion to build its first European production plant in Planá u Mariánských Lázní, on the site of a former chocolate packaging factory, CzechInvest announced on Tuesday.

The factory, which aims to begin operations in the second quarter of 2026, is expected to employ hundreds of local staff and produce up to 20,000 tons of magnetic conductors annually.

The products, used in transformers, electric motors, and equipment for renewable energy and electric vehicles, mark a strategic expansion of Europe’s supply chain for clean-energy and EV technologies. Local officials welcomed the move as a major boost for the region.

“Gold Cup’s investment is confirmation not only of the growing trust that foreign technology companies have in Czech industry, but also Czech industry’s ability to attract top-level projects,” said Adam Wrobel, senior project manager for strategic investment projects at CzechInvest, in a press release.

Wrobel added that the project in Planá is another example of the transformation of traditional industrial sites into modern manufacturing centres with high value added.

The manufacturing process will be highly automated, with minimal requirements for manual labor. Approximately 70 jobs will be created in the first phase, with this figure expected to rise to as many as 200 by 2028. 

Fred Feng, CEO of Gold Cup Toly Europe Electromagnetic Wire s.r.o., said the company aims to support long-term regional development through stable technical positions.

"We place priority on job opportunities for local residents, and we will provide specialised training, retraining, and career development for graduates and other qualified workers,” Feng said.

For Czechia and Europe more broadly, the plant represents a milestone: the first time such advanced magnetic-wire production is moving from Asia to the continent. It underscores growing demand for high-efficiency motors and transformers amid the transition toward renewable energy and electric mobility.

“In recent years, foreign companies have shown interest in moving production closer to their markets, creating opportunities for Central and Eastern Europe to attract high-tech investment, as seen with this Chinese plant in Czechia,” said Gabriela Bauerová of CzechInvest.

Gold Cup Electric Apparatus was founded in 1999 in Changsha, in the inland province of Hunan. The company's customers include Siemens, Hitachi, GE, Toshiba, and Taihan. It also supplies high-precision industrial motors.