Japanese automobile electrical equipment manufacturer Mitsuba is expanding its production and storage capacities at its plant in Salgótarján; a section of the new facility was officially inaugurated on Wednesday.
The project will be fully completed by the end of 2017 with an investment of 4.3 billion forints (EUR 13.9M) and will create 150 new jobs; the Hungarian Government is providing 850 million forints (EUR 2.74M) in grants towards the development project.
At the inauguration ceremony, the Ministry of Foreign Affairs and Trade’s Parliamentary State Secretary László Szabó said: “Japan has now become the most important Asian greenfield investor in Hungary”.
“There are almost 150 Japanese companies present in Hungary, including 47 with production capacities; these companies have realised investments totalling 4.5 billion US Dollars and provide jobs to over 25 thousand people”, he added.
According to Szabó, Mitsuba’s expansion in Salgótarján is also proof of the fact that Hungary is a reliable partner that offers an attractive investment environment for companies that wish to come to Hungary to create jobs.
President and CEO of the Mistuba Group Mr. Hino Noboru told reporters: “The construction of the new, 8600 square metre section of the facility is an important stepping stone in the company’s 4.3 billion forint development and expansion project. The new section is doubling our storage and production capacity, which was necessary in view of the increase in orders. Production lines are being continuously installed in the new unit”.
Mitsuba Automotive Systems of Europe Automobile Part Manufacturing Limited currently employs 370 people in Salgótarján. 90 new jobs have been created since the project was launched in October of last year and the number of new employees is expected to reach 150 by the time the project is fully completed at the end of 2017.
Noboru thanked the Hungarian Government for providing 850 million forints in grants towards the project.
Mitsuba established its plant in Salgótarján in 2001 as a greenfield project. The company manufactures windscreen wiper and washer units and other automobile accessories such as electric windows, steering wheel servos and electric horns for the European market. The plant’s export ratio exceeds 90 percent.
The company’s partners include Magyar Suzuki and Audi’s factory in Győr, and Hungarian enterprises represent a significant proportion of its suppliers. The company is Salgótarján’s largest employer.
Source: Government – Press release