Hungary and China have signed new agreements to enhance their economic and cultural cooperation during Chinese President Xi Jinping's visit to Hungary. The visit aims to bolster China's economic presence in the region.
President Xi and Hungarian Prime Minister Viktor Orbán held discussions in Budapest, where Orbán highlighted the longstanding friendship between the two nations and pledged to continue facilitating Chinese investments in Hungary. He emphasized Hungary's commitment to providing favorable conditions for Chinese companies and fostering collaboration between Western and Eastern technologies.
China has made significant investments in Hungary, viewing the country as a strategic foothold within the European Union. Recent developments include China's BYD establishing its first European electric vehicle production factory in Hungary, potentially impacting the continent's auto industry.
Hungary is positioning itself as a hub for electric vehicle battery manufacturing and is involved in a railway project under China's Belt and Road Initiative to enhance trade connectivity with Central and Eastern Europe.
President Xi affirmed the alignment of the Belt and Road Initiative with Hungary's strategic interests and expressed support for Hungary's role in promoting China-EU relations. The two countries signed a strategic partnership agreement and several other memoranda of understanding to deepen their collaboration.
While specific investment announcements were not made during the visit, discussions were initiated on potential projects such as a freight railway bypass of Budapest and a rail link to Budapest Ferihegy airport.
Orbán, known for his nationalist stance and efforts to strengthen ties with China, highlighted the increasing role of China in the global economic landscape. He emphasized Hungary's intention to expand cooperation with China in nuclear energy, including ongoing projects with Russia at the Paks nuclear facility.
The visit was met with mixed reactions in Budapest, with heightened security measures and demonstrations by both supporters and critics of President Xi. Tensions arose between Tibetan protesters and Chinese nationals, with concerns raised about freedom of expression during the visit.
Overall, the agreements signed between Hungary and China signal a deepening of their partnership across various sectors, reflecting the evolving dynamics of global economic relations.
