Hungarian-owned Neuzer on Tuesday inaugurated a HUF 690 million bicycle plant in the Esztergom Industrial Park, just north of Budapest.
At full capacity, the plant will employ 130 people to turn out an annual 140,000 bicycles, said owner András Neuzer. Neuzer won a HUF 100 million grant for the project, he added.
Neuzer, which designs its own bicycles, employs more than 170 people in Hungary. The company's turnover reached HUF 3.6 billion in 2011.
Neuzer's domestic sales came to HUF 1.4 billion in 2011 and sales in other EU countries generated a similar amount. About 64% of the 60,000 bicycles Neuzer sold in the EU went to The Netherlands and 17% were sold in Germany.
Neuzer has a unit in Romania which runs an assembly plant and a wholesale warehouse. The unit sells about 9,500 bikes a year.