Hyundai Mobis (012330) said on March 10 that it has built its first Europe-based production site dedicated to a global customer in Kecskemét, central Hungary, and has recently moved into full-scale operations.
The facility will add chassis-module deliveries to Mercedes‑Benz in Europe, complementing the company’s existing supply to North America. Hyundai Mobis began shipping chassis modules to Mercedes‑Benz from its Alabama plant in 2022.
The new European plant in Kecskemét covers roughly 50,000 square meters — about seven soccer fields (approximately 540,000 sq ft). Located close to the customer, the site is designed to speed module delivery and maximize logistics efficiency. The plant operates a Just-In-Sequence production system, receiving production plans from the customer in real time and producing modules immediately.
Hyundai Mobis will supply chassis modules for electric vehicles and hybrid models from the Hungary plant. The company also plans to equip the facility for mixed production with internal-combustion vehicles, enabling additional chassis-module output and quicker responses to varied customer production schedules.
The new plant is expected to reinforce long-term partnerships with its customer. Chassis modules integrate major underbody components — brakes, steering and suspension — and require significant investment in production and logistics. Because of that scale, automakers and parts suppliers often develop long-term collaborative relationships based on trust.
Hungary has rapidly emerged as an automotive and battery production hub in Eastern Europe. Annual new-car output tops 500,000 units, and many global automakers have operations there. The country hosts production bases for major German manufacturers, and in recent years Chinese automakers and battery firms have made sizable investments. South Korean battery companies are also expanding in the market.
With the potential to win additional orders from global customers in Europe, Hyundai Mobis chose Hungary as its new base. It is the company’s fourth European production site after the Czech Republic, Slovakia and Türkiye, and its first facility dedicated to a global customer. Once the Spanish plant that will supply battery systems to another global customer, Volkswagen, begins operations, Hyundai Mobis will operate five production bases across Europe.
