In 1949 an automobile factory was established in the NIK (Nehéz Ipari Központ—en: Heavy Industry Center) at the earlier Dunai Repülőgépgyár—en: Danube Aircraft Factory place at Szigethalom. The first Csepel (NIK) engine was ready on 7 November.
The first director of the factory was Ferencné Bíró. She was a mechanical engineer and had studied in Moscow, sister-in-law of Mátyás Rákosi.
The first 3 Csepel D-350 were ready on 3 April 1950. The D-350 and B-350 types were produced between 1950 and 1958. The B-130 4x4 rover pickup lorry began production in 1949. The prototypes were made in Győr and Ikarus. It won a lorry race in Poland in 1950.
During 1968–1975 the evolution of Comecon (Council for Mutual Economic Assistance) changed the way Csepel operated. Csepel began shipping the undercarriage of the Ikarus to other factories for completion. Labor-MIM in Esztergom and later the PolishJelcz & Star performed the final assembly.
In 1968 the Csepel started a new generation of RÁBA lorries incorporating the MAN engine (licensed).
In 1975 the Csepel stopped engine production entirely, instead using the RÁBA engine.