South Korea’s battery foil maker Solus Advanced Materials said Friday it is proceeding with expansion in Hungary upon granted with state incentive of 24 million euro ($27.5 million).

The incentive recently approved by the European Commission will be provided by the Hungarian government in cash over the next two years until 2023, according to the company.

Solus Advanced Materials received cash incentives and tax benefits worth about $28.6 million in May 2020 for its first battery foil factory in Hungary.

Solus Advanced Materials said it will use the incentive to build its second factory with an annual production capacity of 23,000 tons. The company aims to boost its production capacity in Europe to as much as 100,000 tons a year by 2026.

The Hungarian government’s decision to provide incentives recognizes the value of Solus Advanced Materials’ Hungarian plant, the only battery foil production base in Europe, said Solus CFO Kwak Geun-man.

By Pulse

[ⓒ Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]