The reinforcement of domestically-owned productive capital is one of the pillars of the continuous development of the Hungarian economy, Minister of Foreign Affairs and Trade Péter Szijjártó emphasised on Friday at the inauguration of Jász-Plasztik Ltd.’s new battery manufacturing plant in Jászberény.
It is extremely important to provide a boost to not only the SME sector, which is at the heart of the national economy, but also to well-capitalised enterprises employing 2-3000 people, which withstand regional competition and are able to enter the export market in the hope of realising good business, Mr. Szíjjártó added.
The battery plant, built with an investment HUF 10.3 billion (EUR 33.6 million) by Jász-Plasztik Limited, a 100% Hungarian-owned company based in Jászberény, will create about 350 jobs, increasing the total number of people employed by the company to 2800.
The Minister stressed that the investment in Jászberény facilitates the achievement of two economic objectives, according to which “we should become a production centre and bring in as much cutting edge technology as possible”. The new plant manufactures a type of battery that is not yet produced in Hungary, meaning Jász Plasztik Ltd. has entered a new dimension and can now become a direct supplier to the automotive industry in this field.
Mr. Szijjártó said he thought the company’s excellent decision proves, amongst others, that the automotive industry has clearly become the flagship of the Hungarian national economy, and it is not an overstatement that Hungary is now one of the strongholds of the European automotive industry.
Should anyone accuse us of overconfidence, I would call their attention to the fact that during the first seven months of this year the production value of the automotive industry alone was close to HUF 4 000 billion, accounting for 27% of the total output of the national manufacturing industry, he added.
Minister Szijjártó also noted how happy he was to see employees’ representatives at the event. This clearly demonstrates the management’s awareness of the fact that their performance alone could not be enough to achieve success without the contribution of the company’s employees, he said.
Mayor of Jászberény Tamás Szabó (Fidesz) said the inauguration of the new plant was a crucial event for the city and called cooperation with the company “exemplary”.
Lajos Kasza Jr., the owner of Jász-Plasztik Ltd. said that all technologies without exception had been modernised to enable the manufacturing of the new “Start-Stop” vehicle batteries and in the interests of expanding production capacity and the company’s product range.
Established in 1990, Jász-Plasztik Ltd. has operated as a 100% Hungarian-owned family business since its foundation. The two main activities of the company are plastic moulding and electric vehicle battery manufacturing. Jász-Plasztik Ltd. is an important component supplier of the automotive and electronics industries and household appliance manufacturers. Its customer list includes multinational companies such as Electrolux, Samsung, Jabil and Volkswagen.
The company performs manufacturing activities in eight settlements in Hungary, and also has factories in Galanta, Slovakia and in Madaras, Romania. The company, launched 24 years ago with 17 employees, currently employs 2500 people and indirectly employs some 6000 others. Last year, the company’s net sales turnover was HUF 65.1 billion (EUR 212.7 million), 23% of which was derived from exports. A further significant increase is expected based on first quarter data in view of the fact that total net turnover reached HUF 39.5 billion in the first half of 2014.
The newly inaugurated plant was constructed with an investment of HUF 10.3 billion, 30% of which was funded by EU operative programmes and 70% of which was financed by the company itself. As a result, battery manufacturing capacity will increase from 800 000 to 1.5 million units per year, providing jobs for another 350 people.
(Ministry of Foreign Affairs and Trade, MTI)
