The preliminary sales agreement for the land securing the future BYD electric car plant, considered the world’s largest electric car manufacturer and based in China, has been signed, announced Péter Szijjártó, the Minister of Foreign Affairs and Trade, on Tuesday in Budapest.
According to the ministry’s statement, the minister reported that this is one of the most important investments in Hungarian economic history, as the world’s largest electric car manufacturer, capable of producing even better figures than Tesla, is coming to Hungary.
He emphasized that BYD is bringing its first European plant to Hungary, making it the fifth car factory in the country, demonstrating the sector’s balance by having the second major Eastern vehicle manufacturer alongside the three German premium brands.
‘The investment is of a magnitude of several billion euros, creating new jobs in the thousands. The Hungarian government will naturally provide financial support for this, the extent of which will be finalized through negotiations with the European Commission,’ he stated. ‘This investment ensures in the long term that the Hungarian economy can stay on a path of sustained and sustainable growth,’ he added.
He reminded that due to political decisions in Brussels, the next decade in Europe will be about green energy and the electric transition of the automotive industry, significantly reducing emissions, thus contributing to environmental protection.
‘We, here in Hungary, stand by green energy and the green industry, not on ideological grounds, but on a practical basis. For us, environmental protection and competitiveness go hand in hand,’ he declared. Szijjártó stressed that the competition for the BYD investment was extremely intense, and winning it would not have been possible without the collaboration between the government and Szeged, just as fast implementation would not be possible without close cooperation and joint work.
‘Of course, we could not have won the investment competition even had we not consistently implemented the policy of Opening to the East in the past fourteen years, despite all the pressure and attempts to divert,’ he nailed down. He announced that as a result,
Hungary has become the number one investment destination for Chinese companies in Central Europe,
as evidenced by the fact that twice in the last four years, the most investments came to Hungary from the East-Asian country.
‘We reject the political approach that wants to separate, isolate the European and Chinese economies from each other.
Those who are in favour of separation, isolation, and segregation employ an extremely narrow ideological approach,’
he opined. The minister reiterated that the government’s goal is still for Hungary to be the meeting point for Eastern and Western investments. He also pointed out that since 2018, Hungary has been among the world’s twenty largest automotive exporters, as the sector’s production value has increased three and a half times in the last fifteen years, surpassing the dream limit of 10 trillion forints for the first time in 2022, and setting a new record last year.
László Botka, the mayor of Szeged, called the signing historically significant for both the city and Hungarian economic history. He welcomed the close cooperation between the Szeged local government and the government on the matter, saying that the common goal is the quick construction of the factory. He announced that they have undertaken to hand over 300 hectares of land and develop the infrastructure, including full-scale explosive ordnance disposal, which has been completed by now, and archaeological excavation is in progress, and among other things, the drainage of drinking water and sewage will be improved in the process.
He also presented the results of a recent opinion poll, according to which approximately 98 per cent of the local population has heard about the investment, and 85 per cent strongly supports it.
Related articles:
Sources: Hungarian Conservative/KKM/MTI
