China's Shenzhen Kedali to build lithium battery parts plant in Hungary
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Kendali automated assembly in China and (inset) Hungary's trade minister, Peter Szijjarto. Photos: Kedali/Hungarian government
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Chinese lithium battery components company Shenzhen Kedali Industry is to open a manufacturing base in Hungary.
Shenzhen-based Kedali will invest 14.1bn Hungarian forints (HUF) (£36m) to build a manufacturing plant in Gödöllő, northern Hungary, creating 330 jobs, Hungary’s foreign affairs and trade minister, Peter Szijjarto, confirmed.
Szijjarto said Hungary had secured the investment "in the midst of fierce international competition” – and he said the government would provide nearly HUF 1.3bn of "non-refundable support” for the project.
The government will also contribute HUF 500m to support Kedali’s construction of a road linking the Gödöllő industrial area – around 30km northeast from the outskirts of Budapest – to the country’s motorway network.
'European market'
Production capacity of the new plant was not disclosed. However, Kedali president Li Jianli said "mass production” is expected to start in the second quarter of 2021. The plant would be expanded from 2022 – with a total of 10 production lines in operation by 2024.
Shenzhen-listed Kedali, founded in 1996, already manufactures lithium-ion battery components at seven factories across China. Li said the Hungary factory will support the company in serving the "ever-expanding European market”.
Hungary’s trade with China increased by 17% in the first nine months of 2020 and had exceeded $5bn (£3.8bn) at the end of September, according to Hungarian government figures. More than 16,000 Hungarians are employed by Chinese companies.
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European nations on cusp of 'battery investment wave'
Shenzhen-based Kedali will invest 14.1bn Hungarian forints (HUF) (£36m) to build a manufacturing plant in Gödöllő, northern Hungary, creating 330 jobs, Hungary’s foreign affairs and trade minister, Peter Szijjarto, confirmed.
Szijjarto said Hungary had secured the investment "in the midst of fierce international competition” – and he said the government would provide nearly HUF 1.3bn of "non-refundable support” for the project.
The government will also contribute HUF 500m to support Kedali’s construction of a road linking the Gödöllő industrial area – around 30km northeast from the outskirts of Budapest – to the country’s motorway network.
'European market'
Production capacity of the new plant was not disclosed. However, Kedali president Li Jianli said "mass production” is expected to start in the second quarter of 2021. The plant would be expanded from 2022 – with a total of 10 production lines in operation by 2024.
Shenzhen-listed Kedali, founded in 1996, already manufactures lithium-ion battery components at seven factories across China. Li said the Hungary factory will support the company in serving the "ever-expanding European market”.
Hungary’s trade with China increased by 17% in the first nine months of 2020 and had exceeded $5bn (£3.8bn) at the end of September, according to Hungarian government figures. More than 16,000 Hungarians are employed by Chinese companies.
Related article in our archive:
European nations on cusp of 'battery investment wave'