China's Greater Bay Area and Hungary Seal Multibillion-Dollar Investment Agreements

Significant Investments Signed Between China's GBA and Hungary

On May 21, 2025, Budapest hosted a high-profile conference that underscored the strengthening economic ties between the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) of China and Hungary. During this conference, 36 investment projects were announced, totaling over $3.8 billion, with partnerships formed between leading enterprises from China's GBA and local Hungarian companies.

One of the standout projects from this collaboration is the establishment of a European headquarters for BYD, a prominent electric vehicle manufacturer from Guangdong, in Budapest. This move not only signifies BYD's expansion but also highlights Hungary's emerging role as a central hub for Chinese investments in Europe.

Chinese Ambassador to Hungary, Gong Tao, emphasized the importance of this partnership, noting that Hungary has become a preferred destination for Chinese investments. He stated, “The cooperation between both sides will continue to expand, and significant joint projects are steadily progressing.” Over the past two years, China has emerged as Hungary’s largest source of foreign direct investment (FDI). In 2024 alone, a striking 51% of Hungary’s FDI came from China.

Peto Erno, President of the Hungarian-Chinese Chamber of Commerce, echoed this sentiment, saying, “Hungary is an ideal location for Chinese investments to access the EU market. We are situated at the heart of Central Europe and have strong connections with neighboring countries and the EU.”

The statistics speak volumes: Guangdong's investments in Hungary soared by 113% in 2024, with companies like Huawei, ZTE, and BYD creating over 10,000 local jobs. This robust growth showcases the potential of collaborative ventures between China and Hungary.

Hungary's Deputy Minister of Foreign Affairs and Trade, Levente Magyar, further articulated the essence of this collaboration, stating, “We are not merely seeking investors; we are seeking friends.” This indicates a desire for deeper ties that go beyond economic transactions, fostering a more profound understanding and partnership between the nations.

The investments encompass diverse sectors, enhancing Hungary's economic landscape while providing Chinese firms with better access to European markets. The strategic geographical location of Hungary, allied with its infrastructure and established business networks, makes it an attractive destination for international investments, particularly from China.

As both countries look to the future, the framework laid by recent agreements could pave the way for even greater economic collaboration, addressing not only financial interests but also fostering mutual cultural and social understanding. The partnerships formed at this conference illustrate a promising future for both the Greater Bay Area and Hungary, further solidifying their roles in the global market.

Conclusion: The recent conference in Budapest is more than just a meeting of minds; it signifies the dawn of a new era in international economic cooperation that could bring about significant advancements not only in trade but also in mutual diplomatic relations. As the world watches, Hungary and the Greater Bay Area of China are poised to become exemplary models of cross-border collaboration, driven by shared visions and mutual goals.