“F. Segura Hungária Ltd. will be expanding its factory in Szolnok with an investment of 5.3 billion forints (EUR 17.2 million); the Hungarian Government is contributing 680 million forints (EUR 2.2 million) towards the latest investment by the Spanish automobile industry parts manufacturer”, Minister of Foreign Affairs and Trade Péter Szijjártó announced.

“100 new jobs will be created as a result of the development project; the plant’s size will be more than doubled to 25 thousand square meters. Segura manufactures metal parts for the motors and body elements of several car brands, including Audi, Mercedes, BMW and Porsche, and established its first foreign production plant in Szolnok”, Mr. Szijjártó told the press.

Segura operates several factories in Spain and has a large number of design offices worldwide.

“New strategies must be developed and rapid decisions must be made in view of the new, radically different international circumstances, with which the country’s competitiveness can be improved. A new investment promotion system was introduced in January, coupled with the lowest rate of corporation tax within the European Union”, he highlighted. “Hungary can only be competitive if it can also provide a suitable business environment for companies that represent a modern level of technology”, he explained.

“In 2016, the Hungarian foreign economy and the automotive industry both produced record years”, the Minister continued. “71 major investments were made in Hungary with a total value of 3.2 billion euros and the creation of 17,642 new jobs; the production value of the Hungarian automotive industry increased by two percent to 7874 billion forints (25.5bn), meaning it now provides 30.1 percent of the total performance of the Hungarian processing industry. The automotive industry employs a total of 155 thousand people, the ratio of export revenues of the automotive products manufactured here exceeds 92 percent, which clearly indicates the sector’s competitiveness”, Mr. Szijjártó said.

“Segura’s new investment also contributes to enabling Hungary to be the flagship of European automotive industry developments”, he stated.

President of Segura Mr. Francisco Segura Hervás told reporters. “The foundation stone of the plant in Szolnok was laid ten years ago, and the latest development project means the Group’s total investments in Hungary now exceed 65 million euros. The plant’s production area will by increased by 13 thousand square meters, new presses will be installed and new laser welding technology will be introduced”. Praising the level of training of the Hungarian workforce, the President said that by the time the investment is completed the number of employees will increase to 285. The Company places special emphasis on training its employees, and accordingly has invested 6.3 million euros in recent years for the specialised training of its staff, he highlighted.

Mr. Segura Hervás said he also sees human capital as the guarantor of the company’s continued growth and agrees with the Hungarian Government that in future Hungary should not play a role as a country with cheap labour.
According to a statement by Segura, the increase in production capacity at Szolnok is aimed at doubling the company’s total Hungarian annual revenues.

According to publically available company data, the company realised 28 million euros in turnover in 2015, with after tax profits of 3.9 million euros.

Ildikó Bene, the region’s Fidesz Member of Parliament spoke about the fact that county capital’s motor is the industrial park, where machine production and parts manufacturing represent the most important sectors.

Mayor of Szolnok Ferenc Szalay said Segura’s latest investment was extremely significant and was bringing new technology to the city, and highlighted the fact that there is low fluctuation at the company thanks to the competitive salaries. Mr. Szalay also told reporters that the city was continuously working to further develop technical vocational training and will be holding negotiations with various companies this week concerning demand for trained professionals.

(MTI)