German defense contracting giant Rheinmetall has launched a new factory in Hungary to expand its capacity for military and commercial businesses.
Located in Szeged, the facility will serve as the company’s first major hybrid site outside Germany and will operate under its Power Systems segment, focused on mobility, control, and other digital products for the automotive and energy markets.
Other works will be covered by the firm’s Electronic Solutions division, which specializes in AI-built military digitization capabilities.
Rheinmetall began building the plant in 2024 with an investment of 63 million euros ($74 million) for construction on 84,000 square meters (904,168 square feet) of land.
The company said that the center is now operational, with the first assembly lines now working on “components for electromobility.”
The factory is set to expand production areas and increase its workforce to more than 300 by 2030.
Currently, the facility is manned by around 60 specialists and has 15,000 square meters (161,458 square feet) of floor space for assembly. It also has 3,850 square meters (41,441 square feet) of space for 3,500 logistics pallets.
”Hungary and Rheinmetall are linked not only by a successful partnership, but also by a bond of profound cooperation and strong trust,” Rheinmetall Power Systems CEO Christoph Müller stated.
“For us, Hungary is therefore not just a location for localisation, but a home market. At Rheinmetall’s high-tech site in Szeged, we combine sophisticated civil and military technologies under one roof.”