“Samsung SDI will be expanding its battery production plant in Göd with an investment of 390 billion forints (EUR 1.17 billion), creating 1200 new jobs”, Minister of Foreign Affairs and Trade Péter Szijjártó said at a press conference on Thursday in Budapest.

“The state is providing non-returnable funding towards the investment project, the sum of which cannot be made public as yet, however, in view of the fact that it must still be authorised by the European Commission. The sum is in harmony with the size of the investment and is significant”, Mr. Szijjártó said. “The investment also means that it has been decided that in the new automotive industry era Hungary will be one of the bastions of European car production”, the Minister said, adding: “Göd has also made its way onto the world map of the new automotive industry era thanks to previous investments on the part of Samsung SDI”.

The company has three facilities worldwide, two in Asia and one in Göd. As Mr. Szijjártó explained, new technologies have become the prerequisite to global economic success, and the automotive industry is entering a new era with the proliferation of electric vehicles. “Hungary is treating the automotive industry as a priority; there are 169 thousand people employed in the sector, and Hungary is ranked 18 worldwide with relation to automotive industry exports. The investment by Samsung SDI will be contributing to enabling Hungary to maintain its current rate of economic growth, which is at least 2 percent higher than the European Union average”, the Minister said.

Mr. Szijjártó also mentioned that over the past five years Germany has always been the largest investor in Hungary, but the first 6 months of 2019 was the first period in which South Korea was the most significant investor. Director of Samsung SDI Hungary Co. Ltd’s production centre Kim Woochan said the company has grown to become one of the world’s best manufacturers of batteries. The company’s business relations in Hungary began in 2001 in the computer monitor sector, and it has been producing batteries since 2016. The company is investing over one billion euros in Hungary, creating new jobs, he stated. Mr. Woochan expressed his hope that the Hungarian plant will become one of the largest in the world, adding that the company is committed to further expansion.

The region’s Member of Parliament Bence Tuzson (Fidesz) said that in his opinion the investment is bringing technological development, is creating jobs, will also mean a significant increase in local business tax revenues, and will also be supporting local life. Mayor of Göd József Markó (Fidesz-KDNP) spoke about the fact that Samsung has been present in the city for almost 20 years, and cooperation with the company is outstanding.

(Ministry of Foreign Affairs and Trade/MTI)