Chinese EV giant BYD to open European centre in Hungary

In recent years, the central European country of 9.6 million people has attracted a flood of major Chinese projects, mostly related to battery and electric vehicle (EV) manufacturing.

BYD has decided to open its "European corporate and development centre" in Budapest, an investment of 100 billion forints (248 million euro), Foreign Minister Peter Szijjarto said in a statement after a signing ceremony attended by BYD CEO Wang Chuanfu.

Szijjarto hailed the investment as a "qualitative leap".

"In total, 2,000 new jobs will be created... and 90 percent of these 2,000 jobs will be filled by workers with higher education qualifications, mainly in engineering," he added.

BYD CEO Wang Chuanfu called it "another step in the friendly cooperation between the two parties".

The group is already established in Hungary, where it is due to open its first European electric car production plant by the end of 2025, making it the first Chinese company to manufacture passenger cars in Europe.

The factory is located in Szeged, in southeast Hungary.

Orban has encouraged Chinese companies to set up in his country with tax breaks and infrastructure projects.

But China's electric car exports are causing tensions with the European Union, which in 2023 opened an inquiry into alleged subsidies for Chinese manufacturers.

Orban -- China's closest alley in the EU -- hosted Chinese President Xi Jinping last year during his first European trip since 2019.

Orban has been championing an "eastern opening" foreign policy since his return to power in 2010, seeking closer economic ties with China, Russia and other Asian countries.

BYD, which began as a battery manufacturer, overtook Tesla to become the world's largest electric car maker in 2024.

ros-jza/sbk

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