The Globe and Mail reports in its Tuesday, July 14, edition that Mercedes-Benz said Monday it has invested 1 billion euros (about $1.6-billion) to double output at its Hungarian plant in Kecskemet. A Reuters dispatch to The Globe reports that the Hungarian factory will be Mercedes-Benz's largest in Europe and second-largest globally, enabling flexibility in responding to market conditions. Hungary's government announced an investment to increase annual car production capacity to 350,000 and create 3,000 new jobs in Kecskemet, where Mercedes-Benz employed nearly 5,200 people as of late May. Under former Hungarian leader Viktor Orban, who lost power in April, the car and electric vehicle battery sectors became key to Hungary's economy, with German car brands and Chinese battery makers establishing gigafactories. Hungarian salaries, despite recent wage growth, remain among the lowest in the European Union attracting low-cost employment. "By locally producing key components such as batteries, we can respond to the demand even faster and more flexibly," Mercedes-Benz chief Ola Kallenius said at a ceremony to open the new part of the plant. He said, "That's what makes Kecskemet a key site for our future."