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German Automotive Supplier Invests HUF 5 Billion to Upgrade Its Szombathely Plant

MTI-Hungary Today 2024.05.14.

With an investment of more than HUF 5 billion (EUR 12.9 million), the automotive supplier Schaeffler has upgraded its plant in Szombathely (western Hungary).

The new facility includes meeting and dressing rooms, and a conference center suitable for international events. The Schaeffler European Works Council recently held its meeting here with 60 participants from 15 countries, the company said in a statement. They added that

the logistics center is equipped with state-of-the-art technology, the warehouse system is easily accessible, and the products stored there can be moved quickly.

Speaking about the investment, Tibor Szigeti, Managing Director of Schaeffler Savaria, stressed that they have two plants, two research and development centers, and have now handed over a strategically important logistics center and office building. The first plant of Schaeffler’s Szombathely site has been continuously developing since its foundation in 1997, and in 2019, they added a 3,000-square-meter hall building, during which they built their spring production unit, classrooms, and a measuring room.

Following a greenfield investment worth more than HUF 23.5 billion (EUR 60.7 million), Schaeffler built its new 15,000 square meter production hall in Szombathely by September 2021, with HUF 5 billion (EUR 12.9 million) in funding from the Hungarian state, where it manufactures components for electromobility.

The development has created 200 new jobs.

Furthermore, as Hungary Today previously reported, in December 2023, Schaeffler Savaria announced that it will implement a HUF 5.2 billion (EUR 13.5 million) research and development project in the field of hybrid and fully electric vehicle components at its plant in Szombathely. Foreign Minister Péter Szijjártó noted at the time that the state will provide HUF 1.3 billion (EUR 3.4 million) in funding to help create 100 new jobs based specifically on engineering skills.

Schaeffler has two factories in Hungary – in Szombathely and Debrecen (eastern Hungary) – a sales center in Budapest, and a research and development center in the western Hungarian city.

The Debrecen site of the company. Photo via Facebook/Schaeffler

The company employs almost 5,000 people in Hungary, including over 3,000 in Szombathely, making it the largest employer in the region.

According to publicly available data, Schaeffler Savaria achieved net sales of HUF 333.944 billion (EUR 863.6 million) in 2022, up from HUF 274.715 billion (EUR 710.4 million) in the previous year.

The international Schaeffler Group is a German family-owned company, operating as an industrial and automotive supplier in more than 50 countries. Last year, the group’s turnover was EUR 16.3 billion, up 5.8 percent on the previous year.

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Via MTI; Featured image via Facebook/Schaeffler

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