Manufacturing will start gradually, with a full ramp-up expected in three to four years.Continue reading
The purchase agreement on the site for the future Chinese BYD plant, the world’s largest electric car manufacturer, in Szeged (southern Hungary) has been signed, Minister of Foreign Affairs and Trade Péter Szijjártó announced.
According to Minister Szijjártó, BYD’s arrival is bringing an investment of historical economic significance.
He stressed that the stability of the domestic road vehicle manufacturing sector is indicated by the fact that BYD will be the fifth car manufacturing plant in Hungary, alongside Suzuki and the three German premium manufacturers (Mercedes-Benz, Audi, and BMW). The investment will ensure that the Hungarian economy can remain on a long-term and sustainable growth path for decades to come.
It is important to note that Hungary has been one of the world’s top 20 automotive exporters since 2018,
after a 3.5-fold increase in the sector’s production value over the past fifteen years, passing the HUF 10,000 billion mark for the first time in 2022, and setting another record last year.
Szijjártó added that Hungary, in line with the EU’s political decisions, based on the view that the next decade in Europe will be about green energy and the electric transformation of the automotive industry, is standing up for green industry and energy, not on an ideological but on a pragmatic basis.
Péter Szijjártó. Photo: MTI / Máthé Zoltán
“It is no exaggeration to say that, thanks to a broad coalition, Hungary is one of the world champions of the green electric car transition, and the construction of BYD’s factory in Hungary is a confirmation of this position,” he said.
Mr. Szijjártó credited the success of the investment to the policy of the “Eastern Opening.”
As a result, Hungary has now become the number one investment destination for Chinese companies in Central Europe, as evidenced by the fact that in the last four years, the most investment to the country has been from China. He said that everyone can benefit from the cooperation between the Eastern and Western economies, and that is why he disapproves policies that seek to treat the European and Chinese economies in isolation from each other.
The minister stressed that the government’s goal remains to make Hungary a meeting point for Eastern and Western investments.
Via MTI; Featured Image: MTI / Máthé Zoltán