Nippon Paper to Invest HUF 15 bln in Plant in Hungary
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The chemicals business of Japan's Nippon Paper Industries will invest around HUF 15 billion to build a plant in Hungary that will supply materials for the production of electric vehicle batteries, Minister of Foreign Affairs and Trade Péter Szijjártó said on Monday, state news wire MTI reports.
The government will support the investment in Vácrátót, on the outskirts of Budapest, with HUF 2.3 billion, Szijjártó said. The plant will create 60 jobs, he added.
In a separate announcement, Nippon Paper said it will produce carboxymethyl cellulose (CMC) in Hungary, a water-soluble, environmentally-friendly polymer derived from cellulose that is one of the materials used for lithium-ion battery anodes in EVs.
Production at the plant is expected to start in December 2024, boosting the company's revenue by around EUR 50 million.
Nippon Paper noted that CMC is widely used as an additive in food and in cosmetics such as toothpaste.
Szijjártó pointed out that Hungary is now the fourth-biggest producer of batteries in the world.
Battery capacity has been established at more than 20 locations around the country in the past six years, he said. During that period, 47 investments with a combined value of HUF 7 trillion have been announced in the branch of industry, he added.
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