Hungary opens up to Chinese tech despite protests
By Nick Thorpe
“We do not intend to become the world leader,” said Hungary’s foreign minister in Beijing last October, about his country’s ambitious plans for manufacturing Electric Vehicle batteries, “because the world leader is China”.
China has an astonishing 79% share of the lithium-ion global battery manufacturing capacity, ahead of the US on 6%. Hungary is now third with 4% and aims soon to overtake the Americans, explained Peter Szijjarto, during his visit to China.
With 36 factories already built, under construction or planned, his words were no idle boast.
Viktor Orban’s Fidesz government has trumpeted its “opening to the East”.
When it comes to maintaining strong economic ties with Russia, Budapest draws considerable criticism. More important in economic terms are the growing ties with China and South Korea. Electric vehicles are the cornerstone of that push, and for once Hungary is attracting the envy of fellow EU members, rather than their approbation.
By this summer, there will be 17 flights a week between Budapest and Chinese cities. In 2023, China became the single biggest investor in Hungary with €10.7bn.
Looking south from the tower of the Reformed Great Church in Debrecen, the solid grey building blocks of China’s CATL factory stretch into the distance. The world’s biggest battery maker has a big foothold in eastern Hungary.
