Finance
Appliances Maker Electrolux to Close Hungarian Factory
Published by Global Banking & Finance Review®
Posted on April 22, 2026
1 min readLast updated: April 22, 2026
Add as preferred source on GoogleQuick Summary
Electrolux announced on April 22, 2026 it will end production at its Jászberény, Hungary factory by year‑end, incurring a restructuring charge of around SEK 0.6 billion (about USD 65.6 million).
Appliance maker Electrolux to close Hungary plant, affecting 600 jobs
Electrolux Announces Closure of Hungarian Factory
Impact on Employees and Local Economy
STOCKHOLM, April 22 (Reuters) - Swedish appliance maker Electrolux will close its factory in Jaszbereny, Hungary by the end of the year, affecting around 600 employees, the company said on Wednesday.
Reasons Behind the Closure
Competitive Environment and Market Demand
Electrolux said in a statement the closure of the plant, which manufactures built-in and freestanding refrigeration products, is part of efforts to lower costs in the face of competition and sluggish demand.
Company Statement
"This is driven by the current competitive environment, which is impacted by stagnant market demand, price pressure, and increasing constraints on cost competitiveness," it said.
Financial Implications
Restructuring Charges
Electrolux will book a 0.6 billion crown ($65.6 million) restructuring charge, of which 0.3 billion is cash related, in the second quarter, it added.
Currency Exchange Rate
($1 = 9.1537 Swedish crowns)
Reporting Credits
(Reporting by Anna Ringstrom, editing by Essi Lehto and Terje Solsvik)
Key Takeaways
- •The closure reflects continued restructuring efforts by Electrolux in Europe, following earlier shutdowns such as the Nyíregyháza plant announced in February 2023 (SEK 550 million charge). (electroluxgroup.com)
- •Electrolux’s Jászberény site had previously avoided earlier downsizing, and notably achieved 'zero waste to landfill' sustainability status in November 2024. (swedishchamber.hu)
- •The SEK 0.6 billion restructuring charge underscores ongoing cost‑optimisation amid challenging market conditions and follows a history of broader offshoring and efficiency‑driven moves at the company. (bloomberg.com)
References
Frequently Asked Questions about Appliances maker Electrolux to close Hungarian factory
1Why is Electrolux closing its factory in Hungary?
Electrolux is closing its Jaszbereny, Hungary factory as part of a restructuring plan, incurring a 0.6 billion SEK charge.
2When will Electrolux end production at the Hungarian factory?
Electrolux plans to end production at the Jaszbereny factory by the end of the year 2024.
3How much is the restructuring charge for the Electrolux factory closure?
The closure will incur a restructuring charge of around 0.6 billion Swedish crowns ($65.55 million).
4Where is the Electrolux factory being closed?
The factory being closed is located in Jaszbereny, Hungary.
