Characteristics of the Polish Automotive Sector: Crucial Factors & Investment Incentives

The high level of education and the availability of staff – In both absolute numbers as well as in regards to the quality of service, Poland boasts the biggest amount of workers who have a good technical education in the region of Europe. 

1.4 million pupils, including more than 300,000 attend faculties of engineering, which offer the potential to translate into the excellent performance of the financial and quality of firms that invest in Poland.

Transport infrastructure –  Poland automotive sector is rapidly expanding and remodeling its transport infrastructure, both air, rail, and sea. The planned investments for the development of expressways and motorways over the next few years will result in Poland’s ranking as 5th in Europe in terms of the length of the longest category roadway network.

 Through numerous investments in the construction of terminals for ports, and particularly containers. Poland’s government permits polish ports to have regular connections with the largest vessels that come from Asia as well as the rest of Europe.

Cooperative Opportunities – There are more than 666 subcontracted companies that have an IATF 16949/2016 certification, as well as four manufacturing facilities for vehicles (VW, FCA, and PSA Group with the Opel plant) buses manufacturing facilities (Solaris, MAN, Scania, Volvo, Autosan, Amz/URSUS) along with the MAN truck factory will increase the possibility of being part of the creation of value to the industry.

Poland is a specialist in the manufacture of automobile parts from popular manufacturers mostly engines, which includes Volkswagen, Toyota, and FCA are in operation, Opel and Daimler are waiting to see the production begin. 

The proximity of Central European countries with developed industries in the automotive sector is also important because it opens up many possibilities for cooperation.

E-mobility – Poland automotive sector has big goals in the field of electro-mobility and, at present, the law exists to assist the country to realize its ambitions. The growth and spread of electric mobility is the main goal of the state. 

Discount programs, co-financing, and special discount programs for manufacturers (e.g. an E-bus program) in addition to assistance for the development of infrastructure to facilitate e-mobility offer an opportunity to create new business opportunities. 

The estimated amount of programs that are related to this area could even surpass 4 billion EUR within the next 10 years.

Effectiveness in Finance – Poland automotive sector comes with numerous opportunities for foreign companies to get financial assistance on projects that are in Poland through both European Union Funds and domestic sources, such as direct cash assistance and tax exemptions. 

Another important aspect is working organization and other operating expenses, which in Poland remain competitive standards. For instance, in the realm of social security costs, the burden placed on employers in Poland is the second-lowest level of the countries in the region.

Research & Development – Poland automotive sector has activity big Research & Development centers that can have a favorable effect on the growth of the region where they are situated. In Poland, the mature network of collaboration with universities as well as the excellent quality of education provides an excellent base for the growth of R&D facilities. 

Numerous firms have partnered with local academic centers as well as other research organizations that establish strategic partnerships between business and science, for example, ZF TRW, Delphi, Wabco, Faurecia, Nexteer, Tenneco, Eaton, Valeo, Mahle, GKN Driveline.