Baolong Automotive Europe and Hungarian Ministry of Foreign Affairs and Trade announce signature of Incentive Agreement

Baolong Automotive Europe today announced having signed the Incentive Agreement with the Hungarian Ministry of Foreign Affairs and Trade. This milestone is a major move for Baolong Automotive on its mission to gain higher market share in Europe.

Photo credit: Baolong

“We are encouraged by the Hungarian Incentive Program and the Individual Hungarian Government Decision to establish our new European Manufacturing Platform in Szigetszentmiklós (Hungary),” says Zuqiu (Charles) Zhang, CEO at Shanghai Baolong Automotive Corporation. “This investment is a consistent continuation of Baolong’s European Growth Strategy after the foundation of the Joint Venture BH SENS and the acquisition of PEX Automotive Systems Kft. in 2018. We will turn the Szigetszentmiklós site into our European hub of our automotive sensor division.”

The greenfield investment aims to establish a production site of 7,500 sqm, office space of 2,100 sqm and storage area of 2,500 sqm. Additional expansion potential of about 3.750 sqm production space and 1.350 sqm office area is supporting the capacity requirements of Baolong’s European Customers. The new facility is scheduled to be ready in early 2023.

The new plant represents also an important milestone in Baolong Automotive CO2 Reduction Program. The installed photovoltaic panels will provide the electric power covering up to 50% of the current power consumption needs, and this ratio can be further scaled.

“The Baolong Group will establish the European base of its electro mobility strategy in Hungary,” says Péter Szijjárto, Minister of Foreign Affairs and Trade of Hungary. “With the construction of the Szigetszentmiklós plant, the manufacturing of products related to the electrical and intelligent automotive industry in Europe will begin here.”