The Hungarian unit of American luggage maker Samsonite is helping its local suppliers carry out a total of almost HUF 1.8 billion worth of upgrades, Samsonite Hungária Bőrönd told state news agency MTI.
The unit is coordinating upgrades and expansions at Kresz & Fiedler, Termoplast, Plasticor and Sárrét-Plast. European Union and state grant money is covering just over HUF 800 million of the cost of the investments, which will be completed in December.
The local companies will replace Samsonite Hungáriaʼs Asian suppliers, who may be cheaper but are not as flexible, the unit said.
Last year, Samsonite Hungária turned out 1.1 mln pieces of luggage at its plant in Szekszárd (SW Hungary). Output has quadrupled in the past five years and the plant now employs over 900 people.
Revenues of the Hungarian unit reached HUF 23 bln in 2016, public records show.