Reportedly, Samsung SDI’s Hungarian battery plant will subsequently get 89.6 million euros. The amount is basically a support fund from the European Union (EU). It will be provided for the battery maker’s completion of a local battery plant that boosts the local economy and natively produces opportunities for decent jobs. Expert has their point of view that Samsung SDI intended to secure its financial resources for its supplementary investment in the Hungary plant.
Recently, the European Commission disclosed that it authorized a local government’s request for subsidy for Samsung SDI’s Hungary plant. While the very first subsidy for Hungary Plant 1 was accomplished in the second half of 2019 came in about three years.
At the same time, industry experts expect that subsidies will also be funded for Samsung SDI’s second plant in Hungary. The same began operation in dedicated in early 2023. On the other hand, Samsung SDI doesn’t reveal the second plant’s production capacity. Whereas experts believe its production capacity is something around 50GWh per year. Thus accordingly, the production volume can power 600,000 high-performance electric vehicles per year.
Samsung SDI Hungary plant supplies batteries to European EVs
Samsung SDI is providing prismatic batteries from its Hungary plant to European electric vehicles. The brands comprise BMW, Volkswagen, and Stellantis. And their orders are getting increase these days.
The support funds are enlarged Samsung SDI’s investment funds. The European Commission also introduced in a press release that the money was investment support for Samsung SDI’s plant expansion. Also, some analysts predicted that Samsung SDI will be going to build new factories in North America in the future. Also, this analysis is made based on the fact that Samsung SDI signed a contract with POSCO Chemical in January. This is, in order to buy cathode materials which are worth 40 trillion won, the largest ever from the latter.
In addition to this info, in March of last year, SK received 209 million euros in support funds for its third plant in Hungary (30GWh per year) from the EU.
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