Hungary has successfully become a European champion in the first phase of the competition for manufacturing capacity in the new automotive era, and as a result, it has a good chance of attracting research and development projects in the sector, Minister of Foreign Affairs and Trade Péter Szijjártó said in Budapest on Tuesday.
Foreign Minister Szijjártó said at the announcement of the investment by German-owned Schaeffler Savaria Kft. that the automotive supplier, one of the world’s largest, 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 (western Hungary).
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,”
The foreign minister underlined that the competition has two phases, the first of which is for manufacturing capacity.
In this phase, Hungary can safely be called the European champion, one of the best in the world,”
To support this point, he argued that current investments will make Hungary the world’s second largest producer of electric batteries by 2025, and the only country other than China and Germany to have production bases for all three major German premium car brands.
Photo: Facebook/Szijjártó Péter
The second phase, he said, will be about where the developments of the new automotive era will go. “Since Hungary has laid a good foundation in production capacity, infrastructure development, and in the restructuring of higher education, it has a good chance of competing for investment in the second phase,” he said. On the specific investment, the minister pointed out that one of the Schaeffler Group’s leading research and development units for electric motors will be located in Szombathely, and stressed that
the coupling or flywheel of one in ten cars on the world’s roads is made in this plant.
Szijjártó also pointed out that the project has a significance beyond itself, because the Hungarian plant already has an export share of 93 percent, and the company has excellent cooperation with several Hungarian universities, which is a testimony to the success of the restructuring of higher education.
Via MTI, Featured image: Facebook/Schaeffler