Mercedes anniversary in Kecskemét: is Hungary a refuge for troubled industries from Western Europe? – updated

If we can guarantee there is cheap energy, then the European automotive industry, Mercedes-Benz and its factory in Kecskemét will also remain on its feet, Prime Minister Viktor Orbán said speaking at the 140th anniversary event of Mercedes-Benz in Kecskemét (Central Hungary) on Thursday.

Orbán: Hungary is a refuge for the automotive industry

Orbán said there is a big battle being fought in Hungary to ensure affordable energy for factories and households. Troubled industries from Western Europe are increasingly appearing in Hungary, which has become a kind of “refuge” because, compared to the general conditions in Europe, workers work better here, energy is cheaper, regulations are more flexible, and the chances of success are greater.

At the same time “we are under great pressure,” he said, adding that recently Hungary has been placed under an oil blockade from Ukraine and we are also under great pressure to join the misguided green and energy policies of Western Europe.

We must not only stay out of the war, but also away from bad green transition policy, because if this is not successful, Hungary will not be a refuge for troubled Western European industry, “we will not be Noah’s Ark, but rather the Titanic,” Orbán said.

Hungary will help expanding the Mercedes factory

He assured the workers at the Kecskemét plant and the Hungarian and German leadership that they will not let Hungary be dragged into a war, nor allow budgetary resources to be taken out of Hungary, nor permit a flawed energy policy to be forced on us.

We will protect your jobs under all circumstances and we will provide our German friends with all the help they need to expand the Kecskemét factory, you can count on this, Orbán said.

Orbán called Mercedes’ Hungarian operation a real success story, indicating that the factory is currently undergoing expansion and will soon double its capacity. He said it was “heart-warming news” that such a world-class factory now employs 5,000 Hungarian workers.

For Hungarians this factory is not only about producing good cars, but also about the fact that if we set our minds to it, in 14 years we are capable of building on a field and operating one of the most modern factories in the world, he said.

The success of the Mercedes factory in Kecskemét is a matter of self-esteem for Hungarians. Anyone who is capable of building such a factory in a field is capable of anything, Orbán said.

Mercedes-Benz to create thousands of jobs in Hungary

Headcount at the Mercedes-Benz factory in Kecskemét has reached 5,000 and the company plans to add thousands of jobs at the base in the coming period, Mercedes-Benz Manufacturing Hungary managing director Jens Buhler said at the 140th anniversary event of Mercedes-Benz in Kecskemét on Thursday.

Workers at the plant have turned out over 2m vehicles over the past 14 years, he said. The plant has developed into an international competence centre over the years, he added.

Mercedes-Benz Group board member Michael Schiebe said the group plans to launch more than 40 models in the next two years. The aim of the “offensive” is to set a new benchmark on the market for premium vehicles by combining traditions with the technologies of the future, he said.

The Kecskemét plant covers the full range of modern drive systems from high-tech internal combustion engines to hybrid solutions, he said, adding that, in 2022 alone, investments worth EUR 1bn were completed at the base.

Michael Schiebe thanked Viktor Orbán’s support and said Hungary was one of the central pillars of the company’s global production network.

Mercedes-Benz Manufacturing Hungary had revenue of EUR 4.171bn in 2024, when it produced over 146,000 vehicles.

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