ADVERTISEMENT

Koreaʼs SK Innovation breaks ground on battery plant

Automotive

Image by Pixabay

South Koreaʼs SK Innovation began construction last Thursday of a HUF 97.5 billion plant to make lithium batteries for electric vehicles in Komárom (NW Hungary).  Minister of Foreign Affairs and Trade Péter Szijjártó said the government has awarded a non-repayable grant of HUF 8.17 bln for the project. 

The investment will create 410 jobs in the first phase, Szijjártó was cited as saying by official government website kormany.hu, noting that the automotive industry constitutes the "backbone" of the Hungarian economy, employing 176,000 people and responsible for almost one third of the country’s industrial production.

Kormany.hu noted that SK Innovation is South Korea’s third largest company. With its settlement in the industrial park in Komárom, there are now three major battery manufacturing plants in Hungary. Additionally, Chinaʼs BYD makes electric buses in the city’s industrial park, while nearby Audi has begun production of electric motors for cars.

Yoon Ye-seon, chief of SK Innovationʼs battery division, said mass production at the 430,000 square-meter plant would begin in 2020, when the annual capacity of batteries manufactured will be around 7.5 GWh, able to serve 250,000 cars. Production could be ramped up later based on demand from customers, he added.

The kormany.hu report noted that with the appearance of SK Innovation, three South Korean companies will be making batteries for electric cars in Central and Eastern Europe. LG Chem will open a plant in Poland in 2018, while Samsung SDI recently opened its plant in Göd, north of Budapest, in an investment worth HUF 100 billion, employing 600 people.

ADVERTISEMENT

Rate-setters augur slower decline in CPI in 2022 Analysis

Rate-setters augur slower decline in CPI in 2022

Lawmakers approve residency permit for digital nomads Parliament

Lawmakers approve residency permit for digital nomads

Magyar Bankholding chairman to serve as CEO as well Appointments

Magyar Bankholding chairman to serve as CEO as well

ITM, capital gov't agree on support for public transport City

ITM, capital gov't agree on support for public transport

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.