Southern Transdanubia, which includes Baranya, Somogy, and Tolna counties, has a more diversified industrial base, with a focus on food processing, energy production, and the construction materials sector. Pécs, the largest city in the region, is a center for mining-related industries and renewable energy development, particularly biomass. While traditionally agricultural, the region has been investing in industrial parks and logistics infrastructure to attract new industries. However, its industrial growth is more modest compared to other regions due to a smaller labor force and limited foreign investment.
