“The automotive industry is the backbone of the Hungarian economy, and the continuous development of the supply industry is vital to its continued expansion”, Minister of Foreign Affairs and Trade Péter Szijjártó said at the topping out ceremony of the 3.4 billion forint (EUR 10.2 million) investment by public transport equipment manufacturer Hübner-H Rubber and Plastic Ltd. in Nyíregyháza on Wednesday.

Mr. Szijjártó emphasized that the German-owned company exports 98 percent of its products, thus contributing to Hungarian export performance. “We are fast approaching the goal of the Hungarian automotive industry generating a production value of 10 thousand billion forints (EUR 30 billion) in one year”, the Minister emphasized, adding that this is a realistic target for the next one to two years, as the sector's 2018 production value of 8500 billion forints increased by 13 percent year-on-year in the first seven months of 2019.

The Minister said with relation to the investment that, with the construction of a new world-class production hall equipped with state-of-the-art technology, Hübner-H Ltd., which currently employs some 850 people, will be creating 125 jobs, adding that the Hungarian Government is contributing to the investment project with 844 million forints (EUR 2.53 million) in non-returnable funding.

“There was fierce competition for the investment within the Hübner Group, which has interests in, among others, Brazil, China and the United States. Amid such stiff competition, we succeeded in bringing to Nyíregyháza an investment project of an extremely high technological standard, which is an honour for Hungary”, the Minister added.

“This investment will further strengthen German-Hungarian economic cooperation”, he said, noting that Germany remains Hungary's number one trade partner. Mr. Szijjártó also mentioned that 90 billion forints (EUR 270 million) in development projects have been launched in Nyíregyháza, and since 2010 the city has followed an "enviable" development path. “The construction of the Bujtos swimming pool is underway, the construction of a new athletics centre has begun, bicycle paths and hotels have been built, and brownfield areas are undergoing rehabilitation”, Mr. Szijjártó said. The Minister added that the Government is ready to continue its investments if Mayor of Nyíregyháza Ferenc Kovács receives a renewed vote of confidence at the upcoming local elections in October.

Managing Director Ingo Heerdt said that in addition to gateway and articulation systems for articulated buses and rail vehicles, the company is also rapidly developing the production of special rubber products: rubber profiles and window frames for sealing windows and doors. The 8600-square-metre new production hall, which will be completed by February 2020, will expand the company’s production capacity and level of technological equipment, the managing director said.

“Almost all major multinational companies operating in Nyíregyháza have launched or are planning job-creating investments, in which the local government is a partner and is facilitating development”, Mayor Ferenc Kovács (Fidesz-KDNP) emphasised.

Hübner GmbH & Co KG is based in Kassel, Germany, and is one of the oldest companies within the field of public transport. The global company, which now employs more than 3,300 employees, has subsidiaries in Brazil, the United States, China, South Africa, Malaysia and India, as well as in many European countries. According to publicly available company data, the company’s Hungarian subsidiary achieved after tax profits of HUF 1.1 billion (EUR 3.3 million) in 2018, from a net turnover of HUF 16.3 billion (EUR 48.9 million).