Audi invests USD 1.26 bn in Hungary

German carmaker Audi will invest up to EUR 900 million to extend its production site in Hungary, creating 1,800 new jobs, Audi Chairman of the Board of Management Rupert Stadler and Hungarian Prime Minister Viktor Orbán announced at a press conference recently.

Audi has been present in Hungary since 1993, currently employing 5,700 people, and is the main foreign investor in the country with total investments of nearly EUR 4 billion. With these further investments, its Gyõr plant in Western Hungary will get a full assembly line, expected to produce some 125,000 cars per year, including two versions of the new generation A3, in addition to the TT coupe and roadster models, starting in 2013. According to Stadler, the plant’s extension will put Audi in a position to “meet its ambitious growth targets.” “We want to increase our sales by 50 percent by 2015, equivalent to 1.5 million cars each year,” Stadler revealed.

“This investment would have a deep impact on our economy beyond our expectations, as it could add 2% to Hungary's GDP when completed,” Orbán said. “Hungary will become the most competitive and most attractive region of Central Europe,” he added.  Audi, a subsidiary of Volkswagen, has seen its sales rising sharply in recent months, driven by strong exports.