Hungary’s Position on Chinese Relations
On Thursday, Hungary’s Deputy Foreign and Trade Minister, Levent Magyar, expressed that President Donald Trump should refrain from pressuring Hungary to distance itself from China, highlighting the significance of China as an investor and trading partner.
Magyar stated, “It’s definitely not. That’s the red line for us. We have a great trade relationship with China, and China has become one of Hungary’s biggest investors.” This comment came in response to a reporter’s inquiry about Hungary’s willingness to sever ties with China on Trump’s request.
“Hungary benefits from these highly concentrated Chinese economic and trade relations. We don’t want to give up on them,” he added.
During his presence in Brussels for an EU Foreign Affairs Council meeting, Magyar reiterated Hungary’s stance against cutting ties with China. His comments largely supported Trump’s approach to trade.
He remarked that the European Commission should improve its negotiation tactics with the U.S. regarding Trump’s tariffs, indicating that the response has been delayed.
Magyar encouraged the committee to work towards a suitable agreement with the U.S.
Hungarian Prime Minister Viktor Orban defended Hungary’s ties to China during a press conference on Thursday as well. He highlighted that Chinese electric vehicle manufacturer BYD is establishing a research and development center in Budapest.
Orban noted, “We are living in an age of change. New technologies, new consumer demands, and new manufacturers have emerged. And we Hungarians don’t want to be ruled out of this new era. That’s why we have made strategic decisions.” He emphasized the importance of a partnership with China, especially since it leads in technology within the industry.
He added that China is a major foreign investor in Hungary and plays a pivotal role in financing the country’s modernization efforts.
Orban mentioned, “A few years later, China was even Hungary’s number one investor, meaning that China’s investment has become an important and essential engine for Hungary’s economic growth.” He aspires for Hungary to serve as a hub for both eastern and western capitals, trade, and innovation.
Officials in Hungary hinted that some flexibility regarding decoupling could be considered if the U.S. made attractive offers. However, they noted that they don’t see U.S. investment opportunities matching those from China, describing their position as very pragmatic.
Although the Trump administration has not explicitly asked Hungary to cut ties with China, Trump’s son, Donald Trump Jr., has encouraged Hungary to choose the U.S. as its primary trading partner over China.
At a business forum in Budapest in April, Trump Jr. warned Hungary and others in Europe that China poses a greater threat to democracy than Russia, stating that the practices of Chinese investors are often detrimental to their beneficiaries.
