Hungary Launches Probe into BYD Deal After Former Foreign Minister Joins Automaker

On Monday, the Hungarian government announced an inquiry into the large foreign investment by Chinese electric-vehicle maker BYD that was negotiated while Péter Szijjártó served as foreign minister. The probe follows Szijjártó’s resignation from parliament and his acceptance of an executive post at BYD. Lawmakers will be asked to review all subsidies, tax breaks, permits, environmental exemptions and publicly funded investments linked to the BYD project.

The IndependentSouth China Morning Post

During Szijjártó’s tenure, BYD received “hundreds of billions (of forints) in public money, diplomatic support and state infrastructure,” including a 20 billion-forint ($63.7 million) assistance package announced in 2025 for a European headquarters, R&D centre and a battery-manufacturing hub in Budapest. The investment was promoted as part of Prime Minister Viktor Orbán’s strategy to turn Hungary into a lithium-ion battery hub by attracting Chinese manufacturers.

The Independent

Prime Minister Peter Magyar told the parliament that the investigation will “examine all the decisions, negotiations and state commitments made by Péter Szijjártó that were related to the BYD Hungary investment.” He added that officials will “investigate who made these decisions, who prepared them, what professional warnings were ignored, and how much burden they left on Hungarian taxpayers, workers, local communities and the environment.” Neither Szijjártó nor BYD has responded to the allegations.

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Local residents, environmental groups and opposition politicians have protested, fearing the new industry could worsen water-supply problems and other environmental issues while deepening economic reliance on China. Szijjártó’s record also includes close contacts with Russia; he travelled repeatedly to Moscow during the Ukraine war and described Russian Foreign Minister Sergey Lavrov as his “friend.” A government news conference noted that, “as far as I know,” an investigation into Szijjártó’s Russian connections has also been opened.

The IndependentSouth China Morning Post

• “We will examine all the decisions, negotiations and state commitments made by Péter Szijjártó that were related to the BYD Hungary investment,” — Peter Magyar, Prime Minister

The Independent

• “We will investigate who made these decisions, who prepared them, what professional warnings were ignored, and how much burden they left on Hungarian taxpayers, workers, local communities and the environment,” — Peter Magyar, Prime Minister

The Independent