Forklift manufacturer Moffett Engineering has announced a EUR6 million (USD7.6 million) expansion that will create 40 jobs at its Dundalk operation.

The expansion follows the merger this year of Moffett and Dutch sister Kooi, both part of the Partek Cargotec Group, according to an Irish Times report. Both brands would continue to be offered.

The expansion would see the establishment, over the next three years, of a centralised component centre, producing masts for truck-mounted forklifts in Ireland, the Netherlands and the USA. A painting facility would also be opened in Louth, Ireland.

Moffett Ireland general manager Keith Quigley said the decision to locate the new "centre of excellence" in Dundalk was a vote of confidence for the town.

"Our component production will almost double and our paint facility will rival those in the automotive industry," he said.

Moffett had traditionally enjoyed strong sales in the US and UK, while Kooi was stronger in Germany and the Netherlands. A merger made common sense, Mr Quigley said.

"The strengths of both organisations have been joined to ensure the customers will benefit most," said Kooi general manager Dick Vroonland.