VW scandal to cut Hungary car sector growth contribution -minister

Suzuki

01/10/2015 14:20

BUDAPEST, Oct 1 (Reuters) - The Volkswagen  VOWG_p.DE  
emissions scandal will cut the contribution of the car sector to 
Hungarian economic growth in the coming years, Prime Minister 
Viktor Orban's chief of staff said on Thursday. 
    German car makers Audi  NSUG.DE  and Daimler  DAIGn.DE  as 
well as GM's  GM.N  Opel and Suzuki  6785.T  have major 
factories in the central European country, with the car sector 
accounting for over 10 percent of Hungarian exports. 
    "The government will have no choice but to draft an economic 
growth action plan," Janos Lazar told a weekly news conference. 
    "In the next two or three months, the government will also 
have to look at how the economic growth figures in the approved 
2016 budget will be met in light of, or as a result of the 
Volkswagen scandal," he said. 
    The government had projected economic growth of 2.5 percent 
for next year. 
 
 (Reporting by Gergely Szakacs and Krisztina Than) 
 ((gergely.szakacs@thomsonreuters.com; +36 1 327 4748; Reuters 
Messaging: gergely.szakacs.thomsonreuters.com@reuters.net)) 
 
Keywords: HUNGARY GROWTH/VOLKSWAGEN