Higher Profits at Mercedes-Benz Manufacturing Hungary

Mercedes-Benz Manufacturing Hungary Ltd. achieved sales of nearly EUR 4 billion in 2022, compared to EUR 3.1 billion in the previous year; its profit before tax also increased: from nearly EUR 75 million in 2021 to more than EUR 96 million last year, the company told MTI.

According to the report, the significant positive change was due to an increase in the number of units produced and a higher profit margin for the business as a whole.

The comprehensive investment in Mercedes' Kecskemét plant was announced in July 2022, with which Mercedes-Benz will continue its transition to a purely electric drive system, and the preparation of the Kecskemét site for this task is being intensified. From the middle of the decade, models of the repositioned MMA platform will roll off the production line here, with their pure electric versions redefining the company's compact Entry Luxury segment. In addition, a pure electric MB.EA platform model is planned to complete the product portfolio here from 2024, they say.

To this end, the company will expand its site with several new buildings, which will house a new assembly and body production line. Mercedes-Benz is investing more than €1 billion in its Kecskemét plant for this purpose.

In November last year, a second press shop started operations at the Kecskemét site. The state-of-the-art Servo press line ensures the interchangeability of press tools between sites, making production more flexible as all processes from ordering to delivery to the body shop are carried out electronically.

In the future, all the vehicles produced at the plant will be made up of an even greater proportion of parts that are manufactured locally. The new stamping plant will also supply the Mercedes-Benz international production network with a wide range of stamped steel and aluminum parts.

In 2022, the Kecskemét plant will achieve carbon-neutral production at scale by converting 100% of its electricity consumption to green electricity, according to the press release.

The number of employees at the factory in 2022 was 4,543. However, the recruitment and training of new employees will intensify in 2023, with construction work on the new buildings to be completed by the end of the year, while the modifications required for the production of the MMA model range will be carried out throughout the year, Mercedes-Benz said.