Hungary Announces State Grants for Audi and GM

The Hungarian state has approved a HUF11.2 billion (approx. €42.3 million) investment grant for Audi to support its €900 million expansion project in Győr, while General Motors will be provided with a HUF 5.5 billion (approx. €20,8 million) subsidy for its €500 million capacity expansion at its Szentgotthárd powertrain plant.

Audi announced last September its intension to expand its manufacturing base in Győr and boost capacity to 500 cars a day from the second half of 2013. The plant will have its own complete production chain including body manufacturing, paint shop and assembly.

Opel announced in September it plans to introduce a third production line at its Szentgotthárd plant for the construction of three new engine families characterized by low fuel consumption and reduced CO2 emissions.

These projects are expected to create over 17 thousand jobs, including suppliers to the plants.