Written by Anita Combes
Budapest (Reuters) – Chinese President Xi Jinping This is his third trip to Europe in five years, and he is scheduled to meet with Hungarian Prime Minister Viktor Orbán on Thursday, with the war in Ukraine and infrastructure plans at the top of the agenda.
Mr Xi, who arrived in Budapest late on Wednesday, said he would like to see more trade and They can expect a warm welcome in this country, which is an important investment partner. economy.
Mr. Xi has “developed deep friendships” with Hungarian politicians, and Hungary is “the number one target for Chinese investment in the Central and Eastern European region,” Mr. Xi wrote in the pro-government daily Magyar Nemzet on Wednesday.
Mr. Xi arrived in Hungary after visiting France and Serbia. In Paris, President Emmanuel Macron And European Commission President Ursula von der Leyen pressed him to use his influence against Russia to ensure more balanced trade with Europe and end the war in Ukraine.
Foreign Minister Peter Szijjarto said at a press conference earlier this week that Ukraine would be a top topic at the talks in Budapest.
Hungary and China, celebrating 75 years of diplomatic relations, are also expected to sign 16 to 18 new cooperation agreements, one of which could be a major infrastructure project within China's massive Belt and Road project. the minister added.
Like Serbia, Hungary supports China's Belt and Road Initiative. The initiative is an ambitious plan launched by Mr. Xi a decade ago to build a global infrastructure and energy network linking Asia, Africa and Europe.
Relations go beyond trade and investment, as China offered Hungary cooperation on security and law enforcement issues in February.
Immediately after coming to power in 2010, Orbán began efforts to move his country closer to Beijing. Warm political relations turned to investment about a decade later, when battery manufacturers and electric car makers began bringing production to Hungary.
CATL, one of the biggest investors, is building a 7.3 billion euro ($7.86 billion) battery factory in Debrecen, and Chinese EV maker BYD opened its first European factory in southern Szeged late last year. announced that it would build a
Tamás Matula, assistant professor at Corvinus University, said China first brought battery production to Europe to save on transportation costs. Batteries are so heavy that it makes sense to move production next to car factories such as Daimler and BMW, he said.
He added that the next step is to produce Chinese-made electric cars in Hungary, as the expansion of electric vehicles is increasingly threatened by the EU's protectionist plans.
“These impacts may be much smaller if they are already established and produced within the EU.”
(Reporting by Anita Combes; Editing by Nick McPhee)
