Last year marked a milestone for Hungary’s automotive sector, with a record 27 investment projects approved, totaling 1.1 billion euros and creating 3,600 new jobs, István Joó, CEO of the Hungarian Investment Promotion Agency (HIPA), said on Thursday at the agency’s automotive industry conference in Budapest.
The CEO, who also serves as the government commissioner responsible for investment promotion and the implementation of major projects, noted that direct employment in vehicle manufacturing has risen to 164,000, a 1.5% increase compared to 2024—an outcome he said would be the envy of many Western European economies.
More broadly, HIPA supported 108 new investment agreements over the past year, creating approximately 18,200 new jobs.
The total value of the investments reached 7 billion euros, exceeding the combined total of the other three V4 countries—Slovakia, Poland, and the Czech Republic,
he explained.
István Joó emphasized that the past three decades have brought significant results in the sector, with new capacities built out, and between 2010 and 2025, the production value of the automotive industry quadrupled, while the number of employees grew by 90 percent. This foundation provides a solid basis for further development, he added.
An employee at the Audi Hungaria plant in Győr on July 10, 2025. A ceremony was held on this day to mark the start of series production of the Audi Q3. Photo: MTI/Máthé Zoltán
He stated that the long-term future of the Hungarian automotive industry is secure, with domestic factories producing internal combustion, hybrid, and electric vehicles alike. One of the main objectives for the coming period is to strengthen synergies and cooperation in the areas of supplier relations, research and development, and business service centers.
The government has restructured the supplier support system to enable Hungarian-owned companies to integrate into international value chains, and is also working on developing a new, targeted supplier support program,
he explained.
The new Mercedes-Benz model at the production launch ceremony in Kecskemét on January 19, 2026. Photo: MTI/Bús Csaba
The R&D support system has also been restructured, with the minimum investment threshold reduced to 1 million euros. Companies that register their patents in Hungary will receive support, he listed the measures. Excluding BYD, 21 such patent registrations have been filed since mid-2025. The Chinese automaker has committed to registering half of all patents generated in Hungary domestically, he noted.
HIPA held its 12th annual automotive industry conference on March 19, 2026. The event took place this year with the professional support of the German-Hungarian Chamber of Industry and Commerce.
Via MTI, Featured image: MTI/Krizsán Csaba
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