"An efficient division of labor between East and West" is the watchword of Delphi Packard Austria. The automotive supplier is investing ATS 352 million (US$ 27 million) in its Grosspetersdorf, Burgenland facility to develop new electronic products including security and airbag systems.

An important part of this project, which will secure 1000 jobs with its completion in 1999, is the establishment of a "know-how" center for East-West cooperation. Austria, world-renowned for its highly qualified labor force, is the future site of the firm's electronic product development. The production of new components will follow in neighboring Hungary, allowing the Burgenland facility to function as the hub for coordination of cross-border activities.

Delphi Packard Austria is part of Delphi Automotive Systems, the world's largest automotive component supplier. The new project is expected to push revenues beyond the approximately ATS 2 billion (US$ 154 million) the company has enjoyed the last three years.

Austria has firmly established itself as a leader in such cross-border operations, with several cross-border technology parks and multinationals such as IBM and Hewlett Packard having established coordination centers for Eastern Europe here.

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