German-owned transmission maker ZF Hungária inaugurated a HUF 31.5 billion plant in Eger (NE Hungary) on Thursday. Construction of the 40,000 square-meter plant was supported by a HUF 6.7 bln state grant, said Minister of Foreign Affairs and Trade Péter Szijjártó.
The investment will create more than 770 jobs by the end of next year, adding to the 1,265 people ZF Hungária employs at present.
The plant will turn out 150,000 automatic transmissions a year, but capacity is expected to be ramped up to 500,000 within a few years.
ZF Group board member Michael Hankel said the company had decided to build the new plant in Eger because of the local labor forceʼs experience making transmissions, as well as the favorable infrastructure in the city and the region.
ZF has been making transmissions in Eger for more than 20 years. The new plant will turn out an eight-speed transmission for passenger cars. Hankel said ZF wants to rely more on local suppliers in future.