down in 2016 and 2017, as the local automotive manufacturers implemented no expansion of their production capacities. In 2016, the production of transport equipment went up by 1.8% y/y to HUF 7.9tn and by another 1.8% during January-November 2017, compared to a 16.5% y/y rise in 2015 and above 20% y/y growth in 2013 and in 2014. However, the automotive production growth is expected to accelerate, mainly due to the capacity extension project of the local Mercedes-Benz plant which has intentions to build a second plant for production of passenger cars in the country by 2020. This will boost the local production capacity of the company by 80%.

01 EXECUTIVE SUMMARY

02 SECTOR IN FOCUS

03 COMPETITIVE LANDSCAPE

04 COMPANIES IN FOCUS

05 REGULATORY ENVIRONMENT

06 PASSENGER CARS

07 COMMERCIAL VEHICLES

08 CAR PARTS

09 RETAIL CHANNELS