Zollner expands production capacity in Hungary with ERDF-funding

German electronic manufacturing services company Zollner has completed a EUR 1.1 million expansion at its factory in Szügy, Hungary. ERDF-funding covered almost half of the cost of the works, which created 25 jobs.

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Zollner’s expansion has brought new jobs to northern Hungary.  © Zollner Zollner’s expansion has brought new jobs to northern Hungary. © Zollner

" The high number of employees we have in Hungary illustrates just how important this country is to the wider Zollner Group. The ERDF-funding has helped us build longstanding, sustainable partnerships, and deliver consistent quality at an optimal price-performance ratio. "

Viktor Havan, Deputy Financial Officer, Zollner, Szügy

The Szügy expansion came about due to market forces. When the company won a contract for manufacturing charging stations for electric cars, it was necessary to expand both its manufacturing and storage capacities, as its factory was not big enough to allow for any additional production. Increased demand for Zollner’s products creates more local jobs and helps develop the regional economy. 

More manufacturing space, more revenues

Within the framework of the project, the manufacturing area of the Szügy factory was significantly expanded. An existing warehouse was moved to an upper-floor gallery and an open-air pallet storage facility was built in its place. A roof that connected two halls was also enlarged.

According to Zollner’s deputy financial director, the company employs more than 500 people in Szügy and the ERDF investment has led to an additional 25 ‘safe and permanent jobs’ being created. Beyond Szügy, Zollner has 2 000 employees at its headquarters in Vác, near Budapest.

Revenues coming from Zollner's Hungary operations exceeded EUR 258 million last year.

Total investment and EU funding

Total investment for the “Job creating capacity expansion at the Szügy plant of Zollner Kft.” project is EUR 1 000 000 of which the EU’s European Regional Development Fund is contributing EUR 467 389 from the Operational Programme “North Hungary” for the 2007 to 2013 programming period.

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