Masterplast also invests in thermal insulation system

After announcing a record-breaking healthcare investment the end of last year, Masterplast is launching another development. The Hungarian manufacturer will further strengthen its fiberglass mesh production capacity with an investment of EUR 7.6 million in Subotica. The project will be financed from both its own resources and a non-refundable state grant of around EUR 3 million through the Prosperitati Foundation. With the new machines based mainly on German technology, the plant’s output can be increased by about a quarter, which makes the Hungarian company the second largest manufacturer of fiberglass in Europe. The investment also included the modernization of the existing plant, enabling an improved quality, more efficient production and operation. Following the improvements, the plant will be able to produce top-quality construction and industrial glass fabrics. The new machines are expected to start the production in the beginning of 2022.

With the development of the production base in Subotica several goals are achieved. A larger share of the 25 percent increase in glass fabric production capacity will be carried out through the commissioning of new German production machines with which the company will produce premium products for the most demanding markets. The existing plant is also being modernized based on the manufacturer’s experience gained recently. With technological developments and the installation of new supplementary machines, not only the quality and production efficiency are improved, but the product range is expanded as well. Due to the new assembly unit and a wider range of logistics services, the individual needs of more demanding markets can be served. As a result of the investment, the company will achieve a turnover growth primarily through the sale of premium category products, which may go hand in hand with higher profitability as well. Accompanying construction work and installation of new machinery is expected to be completed in the summer of 2021, with new equipment expected to be in production from the beginning of 2022. The established 150-million square meter annual capacity makes the Hungarian company the second largest producer of fiberglass in Europe and the third largest in the world.

The company will finance the EUR 7.6-million project from its own resources in the framework of the Growth Debenture Program and from a 39-percent non-repayable government grant of about € 3 million through the Prosperitati Foundation and a bank loan.

“Apart from the healthcare industry, we will not stop with developments in the construction segment either. With this step we will further strengthen our manufacturing positions in our product group with the highest sales revenue. The production of top quality products also enabled us to reach the largest European partners. In the long run, the main goal of our developments is to create the reusability of our thermal insulation system. Its first operating element, the Hungarocell Green Program implementing a circular business model, started in 2020. Our market expectations remain particularly positive, as stricter building energy regulations, 5%-VAT on new construction and the possibility of HUF 3-million state support for renovations could have a significant demand-boosting effect in the upcoming years. The new investments will significantly overwrite the previous strategy. The updated material of which will be presented to those interested in an online conference on January 12, 2021. ” added Dávid Tibor, president of Masterplast Nyrt.