Hungary boosts military vehicle capacity with major Rheinmetall investment
Rheinmetall Hungary Zrt. held a ceremony in Zalaegerszeg to announce a new investment focused on significantly expanding development and engineering capacities. This initiative aims to strengthen local expertise in military vehicle development over the long term. The project is supported by the Hungarian Investment Promotion Agency (HIPA) with a funding amount of €1.4 million (approximately HUF 560 million). This will enable the creation of about 80 additional highly qualified engineering jobs at the Zalaegerszeg site.
Rheinmetall in Hungary
A key emphasis of the investment is the further development of Rheinmetall’s cutting-edge vehicle systems, especially the Lynx KF41 infantry fighting vehicle and Panther KF51 main battle tank. By expanding testing and development capabilities, the Zalaegerszeg facility will play an increasingly important role within Rheinmetall’s international network.
The investment is part of Hungary’s broader “ZrÃnyi 2026” defence modernisation program, which aims to equip the Hungarian Armed Forces with modern and domestically produced military equipment wherever possible. Péter Szijjártó, Hungary’s Minister of Foreign Affairs and Trade, attended the announcement and described the investment as a milestone for the Hungarian defence industry and an important step toward enhancing national competitiveness through international partnerships.
The facility will enable collaboration between Rheinmetall’s global expertise and local know-how, facilitating the efficient implementation of future projects and development of advanced systems with Hungarian partners. With an investment valued around HUF 3.7 billion (EUR 9.5 million), the project enhances Hungary’s position in the defence sector, notably in military vehicle design and engineering.
This announcement follows previous milestones such as the opening of Rheinmetall’s advanced factory in Zalaegerszeg in August 2023, which produces the Lynx infantry fighting vehicle. The new investment further consolidates Rheinmetall’s growing footprint in Hungary, complementing their other sites including Budapest, Szeged, and Várpalota.
Overall, the expanded development and engineering centre in Zalaegerszeg strengthens Hungary’s defence industrial base, provides high-value jobs, and fosters innovation in military technology aligned with national defence goals.
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