Another giga investment: Chinese company brings its largest European manufacturing unit to Hungary

China’s Jiecang, which makes linear actuators for health-care and home applications, will invest some HUF 25 billion (EUR 67.38 million) in a plant in Kaposvár, in south-western Hungary, the minister of foreign affairs and trade announced on Wednesday.

The investment, to be Jiecang’s biggest European production base, will create 200 jobs, Péter Szijjártó said in Budapest. The Hungarian state has provided a grant worth around HUF 3.5 billion (EUR 9.45 million) to support the establishment of Jiecang’s European distribution centre, he added.

“It’s good news for us that we’ve become the number one destination for Chinese companies’ investments in central Europe,” Szijjártó said. “Chinese companies have brought the latest technology, high value-added products and tens of thousands of jobs to Hungary,” he added.

China is set to become the biggest foreign investor in Hungary this year, too, as it was in 2020, with investments already breaking annual records, the foreign minister said.