February 21, 2023

Individual government subsidies – German companies in the lead

As a result of individual government decisions (EKD), 51 investments received over 128 billion subsidies last year. Of the subsidized investments, only 12 came from Hungary, German companies receiving majority of the support (14). Manufacturing accounted for most of the investments, with the automotive sector dominating. The subsidized investments created 3,686 jobs, while in 22 cases no new jobs were created.

BMW Manufacturing Hungary Kft. received the highest subsidies for the new battery assembly plant to be built in Debrecen. The total investment amounts to HUF 36.05 billion (EUR 94.3 million), to which the government contributed HUF 13.52 billion (EUR 35.3 million) in the form of EKD subsidies. In return, BMW has committed to creating 300 new jobs.

Second place goes to Sisecam Glasspackaging Hungary Kft. of Turkey, which is building a glass packaging factory in Kaposvár for HUF 70.41 billion (EUR 184.3 million) ( for which it received EKD subsidies of HUF 12.55 billion (EUR 32.8 million). Italy’s KOMETA 99 Élelmiszeripari Zrt. received grants of HUF 10.87 billion (EUR 28.4 million) for its HUF 30.8 billion (EUR 80.6 million) investment. The food company is creating 280 new jobs. The fourth largest grant went to Russian-owned Arnest Hungary Kft. The company is building a new aerosol filling plant in Alsózsolca, with the Hungarian state contributing HUF 6.77 billion (EUR 17.7 million) of the HUF 16.9 billion (EUR 44.2 million) investment. There is no obligation to create new jobs here. Bayer Construct Zrt. of Hungary received a grant of HUF 6.60 billion (EUR 17.2 million), the fifth highest amount. It is spending HUF 14.68 billion (EUR 38.4 million) to build a bathroom assembly plant with carpentry and locksmith workshops, as well as a hardware and trim plant.