Palkovics said the construction of two ammunition plants could start soon in Várpalota (85 km southwest) in cooperation with Rheinmetall. He added that Rheinmetall and Hungary are also partnering on developing a next-generation, eight-wheeler, electric hybrid infantry fighting vehicle. 

Hungary's defense industry is also branching out into aircraft, he noted, adding that Airbus will open a helicopter parts plant in Gyula (215 km southeast of Budapest) before the end of June. 

He said the war in Ukraine had shown the importance of new technologies, such as drones, the production of which could present "an important possibility" for Hungary.