Thyssenkrupp invests 100 million euros in Hungary car parts plant

Thyssenkrupp is to build a new automotive components plant in Hungary. The company will invest around 100 million euros in a new production site for engine components and steering systems. Construction of the plant in Jászfényszaru, 70 kilometres east of Budapest, will start in spring 2016, with production of electronic power-assisted steering systems and cylinder head covers with integrated camshafts planned to commence in 2018. Thyssenkrupp reports that it will create around 500 new jobs at the site in the coming years. The expansion has reportedly been prompted by “major orders from international OEMs”.

The firm already operates a software development centre for steering technology in Budapest, where some 400 software engineers work to develop solutions for electro-mechanical steering systems for the automotive industry. In 2013 thyssenkrupp also opened a new front and rear axle assembly plant for Audi in the Hungarian city of Győr.

Dr Karsten Kroos, CEO of Thyssenkrupp’s Components Technology business area said: “This investment follows our strategy towards standardization and cost optimization in the automotive components business. For the first time in Europe we are localizing production of two different technologies at one site. That will be an immense help in offering competitive cost structures. We have already enjoyed success with this strategy in China and will also be employing it in other growth markets.”

Thyssenkrupp opened a chassis components plant in Shanghai in 2014.