Celebrating 75 years of diplomatic relations, China and Hungary are reaping the rewards of a robust and evolving partnership that spans trade, investment, and cultural exchange. Since establishing formal ties in 1949, China and Hungary have cultivated a strong friendship and mutual trust. In 2010, Hungary launched its “Opening East” policy, aiming to strengthen collaborations with Eastern nations, notably China, while maintaining solid relationships with Western countries. In 2013, China introduced the Belt and Road Initiative (BRI), seeking to enhance global connectivity and cooperation. Hungary responded enthusiastically, becoming the first European country to join the BRI in June 2015. The successful integration of Hungary’s “Opening East” policy with the BRI has elevated bilateral cooperation, setting a positive example for other European nations to engage constructively with China. Over the past nine years, China and Hungary have made significant strides in various domains, particularly in economic and commercial cooperation. In 2023, bilateral trade reached $14.52 billion, marking a 79.9% increase from 2015. China’s exports to Hungary amounted to $9.8 billion, while imports from Hungary were $4.73 billion, rising by 88.5% and 64.5%, respectively, compared to 2015. Hungary has emerged as China’s most important trading partner outside Europe. Despite global challenges such as geopolitical tensions, energy crises, supply chain disruptions, and inflation, both nations have maintained positive development momentum, contributing significantly to their economic growth. Hungary is also China’s largest investment destination among Central and Eastern European (CEE) countries. According to the Hungarian Investment Promotion Agency, total foreign direct investment in Hungary in 2023 exceeded 13 billion euros ($13.95 billion), with Chinese investment accounting for 7.6 billion euros (58%). A number of Chinese new energy companies, including Contemporary Amperex Technology Co., Limited (CATL), BYD Company Limited, and EVE Energy Co., Ltd., have established factories in Hungary. This expansion not only facilitates Chinese products’ entry into the European market but also strengthens Hungary’s position in the global industrial chain and creates numerous job opportunities. These developments support Hungary’s economic transformation and enhance the welfare of its people. The cooperative partnership between China and Hungary exemplifies enduring friendship and a commitment to multilateralism. Hungary has consistently pursued an independent foreign policy and maintained a friendly stance towards China. As the first European country to sign a memorandum of understanding on the BRI, Hungary plays a pivotal role among CEE countries and within the European Union. The two nations have achieved numerous “firsts” in their cooperation. Hungary was the first country to establish and launch the “Belt and Road” working group mechanism with China, the first CEE country to establish a Chinese yuan (RMB) clearing bank, and the first European country to open a bilingual national school offering education in both Hungarian and Chinese. These milestones highlight the depth and breadth of their partnership. As China and Hungary celebrate 75 years of diplomatic relations, their cooperation continues to flourish, setting a benchmark for international partnerships. The blend of strategic initiatives like the BRI and Hungary’s “Opening East” policy underscores the potential of collaborative efforts in fostering economic growth and cultural exchange. The ongoing commitment to mutual respect and shared prosperity promises a bright future for both nations.A Historic Partnership
Belt and Road Initiative Collaboration
Economic Growth and Trade Boost
Investment and Industrial Collaboration
A Model for Multilateral Cooperation
Looking Ahead
Reference(s):
cgtn.com
