Honeywell, a US-based company, is set to expand its manufacturing plant in Nagykanizsa with an investment of EUR 10 million, Minister of Foreign Affairs and Trade Péter Szijjártó announced at a press conference on Monday in Budapest.
The government decided to support the company’s EUR 10 million investment (approximately HUF 30 billion), which will create 109 new jobs, with HUF 761 million, the Minister said.
In addition to the existing facility of 12,000 square metres, 5000 square metres will be added through the extension, where electromechanical components will be produced, the Minister added. According to Péter Szijjártó’s presentation, the Fortune 100 company has 132,000 employees worldwide and approximately 550 employees in Budapest and Nagykanizsa. He also noted that there are negotiations underway about increasing the number of Hungary-based SMEs among the suppliers as well.
The Minister said that the expansion of Honeywell’s facility is the latest success of the economic cooperation between Hungary and the United States. Following negotiations with the company since March 2013, an agreement was reached this July. Péter Szijjártó underscored that the government aims to reach the highest export to GDP ratio among the EU member states.
Further goals include that the country should become the main target of foreign direct investment in Europe, and further Research & Development investments and innovation capacities should come to the country, he added. He explained that Hungarian foreign policy must use new means to attract more investment to the country. According to the statistics, the politicy of the Hungarian government is successful: while the number of investments decreased in 2012, it grew by 7 per cent in 2013; now first quarter data show a more than 20 percent increase, he underlined.
Interest towards the country has not waned, and the investment agency currently handles 20 projects, he said, adding that a faster, more effective and more flexible framework must be established for the promotion of investment to achieve this goal. Arthur Simonetti, Honeywell’s Vice President of Government Relations in the EMEA region, thanked the Hungarian government for their support to the implementation of the project. Nagykanizsa will become the strategic centre of the company thanks to the development.
Mayor of Nagykanizsa Péter Cseresnyés pointed out that the company was established in the town nearly 20 years ago and it has provided exemplary working conditions for its employees. The municipality did its best to ensure that Honeywell would bring this project, which will also create new jobs, to Nagykanizsa, he said.
(Ministry of Foreign Affairs and Trade)
