Mercedes plans to invest in €141mn ($172mn) at its Kecskemet plant in Hungary to add a unit for production of electric vehicles (EVs) by late next year.
According to media reports, EV production is expected to begin in Q4 2021. The new investment would add 4,400 jobs to the factory. While media reports did not indicate the planned capacity of the EV line, the Hungarian plant produced 190,000 cars in 2019.
The Hungarian government is also providing about €52mn in grants toward the new plant. The minister for foreign affairs, Péter Szijjártó, said that Mercedes’ large investment in an uncertain year marks a milestone for the domestic automobile industry in Hungary.
(€1 = $1.22)