German Arms and Machinery Manufacturer Rheinmetall Starts Construction of a New €63 million Plant in Hungary
Rheinmetall AG, a German automotive and weapons manufacturer, has started construction of a new plant in Szeged, southern Hungary. This will make Rheinmetall a centre for the production of both military and civilian products, expanding the company's presence in Hungary and the EU as a whole.
The new plant is Rheinmetall's first major hybrid plant, combining the group's civilian business and defence technology activities under one roof. The facility, which is scheduled to be commissioned in August 2025, is part of the Rheinmetall Power Systems division.
The first stage of industrialisation will see the construction of a 15,000-square-metre plant on an 85,000-square-metre site, which will create up to 300 highly skilled jobs. The total investment in the facility is estimated at €63 million.
Rheinmetall's plant in Szeged will mainly manufacture products for the Group's automotive division, including electrical components such as nanostructured capacitors and products for the use of hydrogen in mobility and energy production.
In addition, about 10% of the production space is planned for products for the military business of Rheinmetall Electronic Solutions.
The Szeged location will be Rheinmetall's fourth in Hungary, complementing its facilities in Budapest, Zalaegerszeg and Várpalota.
As previously reported by The Gaze, German military concern Rheinmetall began construction of another new plant in February to increase ammunition production for Ukraine.
In March, Rheinmetall announced the construction of a €400 million powder plant in Romania.