Tungsram Group signed a strategic agreement with the government Monday at the companyʼs Újpest headquarters, with Jörg Bauer representing Tungsram and Minister of Foreign Affairs and Trade Péter Szijjártó representing the government.
In February 2018, GE Lighting announced it was selling its European, Middle Eastern, African, and Turkish branches, as well as its global automotive lighting branch, to the firm led by Bauer, who had previously served in GEʼs upper management. In April, Tungsram acquired GEʼs local units, since when it has returned to being an independently operating international firm with subsidiaries in 22 countries.
According to a press release sent to the Budapest Business Journal, the firm is planning to conquer the world market with innovation, as a premium European company.
"The Hungarian economy and Hungarian companies both delivered an extraordinary performance last year," Szijjártó said at the ceremony. "In 2017, the value of exports grew to more than EUR 100 billion, and according to forecasts, another record was reached in 2018. [...] One of the significant successes was the revival of one of Hungaryʼs oldest and most recognized brands."
"Tungsram is the third largest privately owned company, whose global ambitions are supported by credit from Eximbank, that assists nearly 700 Hungarian supplying SMEs," Szijjártó added. "We have entered a new era, where companies unable to adapt will become losers. Tungsram will have to stand on its own in tough international competition, where one of the keys to success is also the focal point of the companyʼs strategy: innovation."
The minister also noted that, thus far, 80 strategic partnership agreements have been concluded between the government and the competitive sphere, resulting in 22,000 new workplaces.
Tungsram Group boss Jörg Bauer recalled that the company, founded 123 years ago, was among the peak innovators between the two World Wars through the manufacture of incandescent lamps, and its name became synonymous with then revolutionary products.
"Similarly, now we are aiming at a leading, innovative role on both the domestic and international markets, and we see partnership as the only adequate way, the key to competitiveness," Bauer stressed. "We believe that, together with the government of Hungary, our domestic and international clients, SME partners, higher education actors, and municipalities, we can become the countryʼs future."
Bauer noted that Tungsram has a presence in 100 countries and employs almost 5,000 people in Hungary. The company had revenues of some USD 300 million in 2018, according to preliminary data cited by state news agency MTI.