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Hi-tech in Hungary: potential and performance Géza Vass, Director General Department of Bilateral Economic Relations Ministry for National Economy, Hungary.

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Presentation on theme: "Hi-tech in Hungary: potential and performance Géza Vass, Director General Department of Bilateral Economic Relations Ministry for National Economy, Hungary."— Presentation transcript:

1 Hi-tech in Hungary: potential and performance Géza Vass, Director General Department of Bilateral Economic Relations Ministry for National Economy, Hungary China Hi-Tech Fair, Shenzhen, Nov 2010

2 2 Hungary Land: 93,030 km² Population: 10 million GDP/capita, at PPP: EUR 14,900/ USD 18,840 (2009) (wiiw, EIU ) Member of EU since 2004

3 3 The strength of the ICT sector with good e-skills: strategic assets for Hungary  Hungary’s ICT sector represents one fifth of its exports, the third highest in the EU  The percentage of people employed with ICT user skills exceeds the EU average  Major software developers: IBM, HP, Siemens, CISCO, SAP, Oracle, Microsoft and TATA  Several IT companies, such as BT, EDS-HP and Getronics operate technology service centres in Hungary  ICT-related R&D drives more than a quarter of total R&D Source: Europe’s Digital Competitiveness Report - i2020 – ICT Country Profiles, August 2009

4 4 Biotechnology & Pharmaceuticals The 5 th largest drug producer in Europe Hungary ranks top in clinical research (Buck Consultants) Hungary’s biotechnology sector on par with some Western European countries (Europabio, 2009)

5 5 Pécs Debrecen Budapest  Large international companies are clustered around universities  Enhance the cooperation between academia and business  Each granted by EUR 6.3 million by the National Research and Technology Office  Long-term programs in basic and applied research Four life sciences clusters  János Szentágothai Centre of Excellence: molecular biology and info-bionics  27 pharma companies engaged in R&D  Genomnanotech Centre of Excellence  Teva-Biogal R&D  Medipolisz Regional Knowledge Centre: pharma research  Biopolis  Neurobiological Knowledge Centre  Bay Zoltán Foundation for Applied Research  Biological Research Centre Szeged

6 6 Original manufacturers: Suzuki, Audi – Suzuki: 181,000 pcs (2009) – Audi Motor: 32,600+ TT coupés and roadsters, A3 cabriolet Engine manufacturing: – Audi Hungary: 1.38 million engines(2009) – GM Opel: 400 thousand engines (2008) Automotive electronics prod. + R&D: Bosch, ThyssenKrupp, Knorr Bremse, etc. TIER 1s: 14 of the world’s top 20 are present in Hungary Automotive World’s 2nd largest powertrain plant in Hungary by Audi!

7 7 Largest electronics producer and exporter in the CEE Major global manufacturers: Samsung, GE, Philips, Sanyo, Sony and Jabil, Flextronics Booming sectors: IT manufacturing, telecommunications, consumer electronics Electronics „Hungary provides an ideal environment for electronic manufacturing services as the country has good industrial infrastructure and a strong industrial culture.” Hannu Hanatala, Managing Director, Elcoteq

8 8 Zenon Elcoteq Ericsson Continental Temic IBM Sysdata General Electric Nokia Cisco SAP TATA Consulting Sanofi-Aventis Bosch Power Tool Continental Teves Valeo Auto-Electric Audi Magna Steyr General Electric Philips GM-Opel Michelin Flextronics Denso Visteon Philips Knorr-Bremse Zeuna Starker ZF Hungária W.E.T. General Electric Flextronics Samsung Nokia Philips Draixlmaier Electrolux AFT Source: ITDH 38 multinational company R&D units

9 9 ZTE  Employs 45 people in Budapest in sales and technical support  Major partners: Invitel, T-com, Vodafone  In 2010 won tender of Telenor for network development  New plans: EUR million investment, 120 jobs in repair and manufacturing centres  Repair Centre opens in January 2011 with 60 employees  Second phase: manufacturing centre Lenovo  Since 2009 Flextronics produces PCs, servers and workstations for Lenovo in Sárvár, Hungary  Lenovo’s business created 500 jobs  Assembling, testing and final control are performed in Flextronics’ factory

10 10 Activity in Hungary Yearly Revenue (Bn $) Countries served from ESC Manufacturing plant at EMS partners (1000 m2) Job creation (direct and indirect) ESC - Europe Supply Center Employs 120+ in Budapest in sales and technical support Major partners: Vodafone, T-Com, Invitel, Telenor, GTS Datanet, Antenna Hungaria Europe Supply Center: plans up to 2012 Huawei

11 11 Talentis Business Park sqm office-park: Business area, offices, laboratories, headquaters for trade companies / 10 万平方米的 Talentis 商务、办 公园区 设有商务区,办公室,实验室,贸易 公司总部等www.tbp.hu Business and Technology Center in CEE: Talentis- 在中东欧地区的商务技术中心 Close cooperation with 14 municipal governments/ 在 TALENTIS 地区的 14 个地区政府有密切的合作 Built-to-suit solutions/ 寻找适合的解决方案 All-inclusive enterprise services (from company establishment to HR management)/ 全面的企业服 务(从公司建立到人力资源管理 )

12 12 1.) Direct Cash Subsidy Option 1: Cash subsidy based on the decision of the Hungarian Government Option 2: EU co-financed cash grant, schemes to be announced early ) Development tax allowance 3.) Job creation subsidy 4.) Tender supporting job creation 5.) Training subsidy 6.) Benefits by regional Labour Centres Hungarian Government provides incentives for large investment projects

13 13 Beijing Hungarian Embassy Commercial Office San Li Tun, Dong Zhi Men Wai No. 10. Beijing Mr. Csaba WOLF Commercial Counsellor Tel.: (86) Fax: (86) Ms. Márta BALOGH Second Secretary Tel.: (86) Mobile: (86) Chongqing Hungarian Consulate General JW Marriott Hotel No. 77, Qingnian Street, Yuzhong District Chongqing Mr. Béla BÁTHORI Consul General Tel: (86) Shanghai Hungarian Consulate General Hai Tong Securities Building 689 Guang Dong Road 28th Floor #2811 Ms. Katalin POLONYI Commercial Counsellor Tel: (86) ext. 826 Fax:(86) ext Budapest ITD Hungary Andrássy út 12. H-1061 Budapest Mr. Péter BUZÁS Senior Consultant Tel.: (36) Fax: (36) Ms. Anikó KIRÁLY Consultant Tel.: (36) Fax: (36) Opening soon in 2011: Shenzhen Hungarian Commercial Office Your Contacts

14 14 Géza Vass, Director General Department of Bilateral Economic Relations H-1055 Budapest, Margit krt. 85. Phone: (36 1) , fax: (36 1) Internet: Thank you for your kind attention!


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