Chinese Investment with Hungarian Subsidy in Debrecen

Chinese-owned Halms Hungary Ltd. invests EUR 43 million in Debrecen to manufacture e-car parts with the aim to be able to meet customer demand in Europe faster and from a closer location. The project that is to create 300 new jobs further enriches an already very much vibrant local EV ecosystem, the Hungarian Investment Promotion Agency reports. Hungarian taxpayers are to cover about 9% of the investment costs.

China-based Zhejiang Huashuo Technology Co. Ltd. specializes in developing and manufacturing aluminum components for electrical vehicle drive units and body structure applications. The business interests of the company span from China to South Korea and Europe with a clientele including leading global OEMs.

The Hungarian subsidiary, Halms Hungary Ltd. has now announced its intent to set up a new plant to produce EV parts such as engine housings, gearboxes and inverter cases in Debrecen.

Huashuo, which became the biggest provider of e-motor housing for electrical vehicle industry worldwide, and is a frontrunner of the aluminum die-casting industry in China, made this strategic move to accelerate development and to have a better collaboration with its European customers.

Initially, a hall of 10,000 sqm will be rented in Debrecen’s Southern Industrial Park for the purpose of processing, washing, testing and storing. Production is expected to begin in March 2023. Following that, a plant of 20,000 sqm will be built on the spot where a furnace and high-pressure casting machinery will be installed. In this case manufacturing is scheduled to start in December 2023.

The Debrecen plant will be a top-level aluminum high pressure die-casting plant with fully digital linked system and fully automated production lines, and as such, it will be a benchmark inside Huashuo Group. Accordingly, the Chinese company plans for the long run.