Debrecen’s economic growth was analyzed by Romanian Newspaper

One of the biggest Romanian newspapers wrote about the recents investments in Debrecen.

Photo is only illustration. Photo credit: marcinjozwiak képe a Pixabay -en.

As HotNews.ro recalled in their article, BMW announced in July 2018 that it would open a car factory in Debrecen and invest EUR 1 billion. They wrote about South Korean company EcoPro BM that announced plans to open a battery parts factory (cathode) in Debrecen with an investment of EUR 700 million. They mentioned the announcement of the world’s largest battery manufacturer, China’s CATL, opening a mega-factory in Debrecen, worth more than EUR 7 billion, to produce batteries for electric cars. According to the Romanian newspaper article, these and other plants will produce at full capacity after 2025. 

According to the article Hungary has a significant automotive industry, with Suzuki producing engines here since 1992, Audi since 1994 and cars since 1999, and Mercedes since 2012. In Hungary, more than 430,000 cars are produced every year, and a total of 180,000 people work in the automotive industry, including many parts manufacturers.

More recently, Debrecen has gained huge recognition after the acquisition of BMW’s investment.

The paper believes that companies are coming to Hungary because of high subsidies, some of the lowest taxes in the region, and well-maintained infrastructure, thanks to the high level of investment over the past 15 years.

It also makes a big difference that Germany, for example, is pretty close. The article also mentions the importance of Debrecen International Airport and the commitment of the authorities to open new railway lines.

HotNews.ro points out: the presence of nearby battery plants is essential for German car manufacturers, and Mercedes, which has a plant in Kecskemét, 180 kilometers from Debrecen, and will be the biggest customer for the CATL plant being built. BMW will need a lot of batteries for its electric cars after 2025, as it will only produce electric cars at its new Hungarian plant.