News: Hungarian car parts manufacturer GraNa will expand output of plastic components and employ between 15 and 20 new workers at its Gy?r-based facility. The project will be co-financed by an investment grant received from the EU, reports Magyar Távirati Iroda. The facility manufactures several parts used in the production of clutch pedals, interior and exterior rear-view mirrors, automotive lighting, as well as components for convertible tops and speakers. GraNa supplies its products to several manufacturers in the automotive industry, including Audi, Mercedes-Benz and Volkswagen.
BMI View: BMI expects suppliers to remain committed to their investments in Hungary. Much of the supplier investment in the country has been led by large-scale manufacturing investments by original equipment manufacturers in the region, and expansion into emerging markets is a way for these suppliers to diversify away from domestic markets that have less growth potential. Despite a sharp fall in orders to suppliers, owing to the overall caution about the pace of recovery in Europe's auto industry, BMI believes there is still some room for optimism in Hungary's supplier segment.