Rheinmetall Expands Presence in Hungary

German defense industry giant Rheinmetall is set to establish a new service center for development and engineering in the southwestern Hungarian city of Zalaegerszeg, the Hungarian Investment Promotion Agency (HIPA) reports.

According to the statement released, the EUR 9.54 million investment – about 15% of which is covered by Hungarian taxpayers through a government grant – will create 80 high value-added jobs. The center will focus on development and engineering activities related to the Panther KF51 – regarded as the world’s most advanced main battle tank – and the producer's other military vehicles.

Supported by HIPA, the project further expands Rheinmetall’s footprint in Zalaegerszeg, following the inauguration of its combat vehicle manufacturing plant in 2023. It also contributes to the success of Hungary’s Zrínyi 2026 defence modernization program.

With around 40,000 employees worldwide and revenues of EUR 9.8 billion in 2024, Rheinmetall is one of Europe’s most prominent defence companies. Its growing presence in Hungary not only supports national security but also fosters innovation and generates opportunities for local suppliers in electronics, metalworking and chemicals.