Chinese firm builds €1.5 billion car battery plant in Hungary

Hungary is on track to double last year’s record foreign investment

editor: REMIX NEWS
author: Index

Chinese Sunwoda, one of the world’s largest battery manufacturers, will build its first European plant in Nyíregyháza with an investment worth around HUF 580 billion (€1.51 billion), Minister of Foreign Affairs and Trade Péter Szijjártó announced in Budapest on Thursday.

The company, one of the world’s top 10 battery manufacturers, is setting up its first plant in Europe in response to growing demand from the continent’s automotive industry. The company has announced an initial investment of HUF 93 billion in the first phase, but the value of the project, including the other construction phases, will reach HUF 580 billion in the long term, creating thousands of jobs in Nyíregyháza, Szijjártó said.

“This is the largest investment announced so far this year. It is the third investment this year worth over €1 billion, and this makes it certain that we can meet our commitment to not only exceed last year’s investment record but double it this year,” Szijjártó said.

Szijjártó emphasized that environmental protection is a top priority for Sunwoda. Some 90 percent of the factory’s total water needs will be met by treated wastewater; drinking water will be used only for hand washing and drinking, and a wastewater treatment plant will be built.

The company will also install a solar farm, which will provide the plant’s operations with renewable energy, helping Hungary to remain one of the few countries that can increase its economic performance while reducing emissions. “What’s more, the plant will join the municipal monitoring system to guarantee the prevention of air, soil and water pollution,” the trade minister said.

The company is not only committed to complying with the high standards in Hungary, which are very strict by European standards, but also to setting even stricter conditions for the implementation of new standards, he pointed out.

The project also proves the success of the Hungarian economic policy of opening up to the East, as since 2019, the largest number of investments in Hungary has been from Asian countries. So last year and this year, too, China is likely to be the biggest source of foreign direct investment, Szijjártó added.

tend: 1695519903.9802