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A BYD Co electric bus is on display at the transport authority in Los Angeles. [Photo/Xinhua]

Chinese electric vehicle manufacturer BYD Co Ltd unveiled its first European electric bus factory in the northern Hungarian city of Komarom on Tuesday.

Production at the 20 million euro ($21 million) facility is set to begin within days, according to BYD.

The plant will employ 32 people, but BYD plans to expand that to 300.

Isbrand Ho, managing director of BYD Europe, said the company was looking to buy more land to expand the production base and eventually increase the number of employees to 600, mostly Hungarians.

The factory will produce 200 buses per year at first, with plans to increase output to 400.

Duan Jielong, Chinese ambassador to Hungary, said: "I hope the BYD project will achieve mutual benefits, including common development and a move toward bilateral cooperation in the automotive industry."

Peter Szijjarto, Hungary's minister of foreign affairs and trade, said: "We are very pleased that BYD has brought innovation and international competitiveness to our auto sector."

BYD has evolved in recent years to become an industry leader in electric-powered public transportation.