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Bosch to invest another €146 million in Hungary

Germany’s Bosch Automotive Steering will invest another HUF 52.5 billion (€146 million) in Hungary, Minister of Foreign Affairs and Trade Péter Szijjártó announced on Friday

editor: REMIX NEWS
author: MTI
via: Origo

The German company is further developing its plant in Maklár, Northeastern Hungary, and the three investments worth HUF 52.5 billion will create 180 new jobs, while the government will provide HUF 12.5 billion support for development, said Péter Szijjártó, Minister of Foreign Affairs and Trade, at a press conference.

Szijjártó emphasized that the investments cover the entire operational structure of Bosch, from research and development to production, adding that the production of new-generation electric steering gear will also go to Maklár.

Szijjártó said this was an important step towards self-driving cars, noting that the investments will also provide significant assistance in the transition of the Hungarian car industry to a new era. He explained that the company will also create a new service center that will perform global tasks in Maklár.

Szijjártó said Bosch is one of the largest companies operating in Hungary, employing over 15 thousand people in several locations across the country. German-owned companies continue to be the largest investment community in the country, with bilateral trade growing by 16 percent in the first 4 months of this year and Hungarian exports expanding by 19 percent to Germany.

He mentioned that, despite the pandemic, Hungary managed to increase foreign direct investments by a record 140 percent. He added that achieving the government’s goal of 5.5 percent economic growth this year requires large international corporate investments, such as Bosch’s investment, which will also help increase export performance while preserving jobs and providing long-term demand for their products and services to small and medium-sized enterprises.

Michael Zink, Chief Technical Officer of Bosch Automotive Steering Kft., said that the three investments that will determine the company’s future will simultaneously strengthen the company’s presence in Hungary and help strengthen its role in the automotive industry.

From Hungary, Zink said, Bosch will deliver 3 million steering systems a year to more than 100 manufacturers, and with these investments, they will double production volume over the next 5 years. The investments are said to prepare Maklár to serve the automotive industry of the future, contributing to long-term stable and secure jobs.

Title image: Minister of Foreign Affairs and Trade Péter Szijjártó speaks at the press conference of Bosch Automotive Steering in Budapest on July 16. (MTI/Zsolt Szigetváry)