Hungary investigates deal with China’s BYD carmaker after ex-foreign minister takes job there

Hungary investigates deal with China’s BYD carmaker after ex-foreign minister takes job there 1 of 2 | Hungarian Prime Minister Peter Magyar holds an extraordinary press briefing following a voting on the 17th amendment to the Fundamental Law in the parliament building in Budapest, Hungary, Monday, July 13, 2026. (Tamas Purger/MTI via AP) 2 of 2 | The then-Hungarian Minister of Foreign Affairs and Trade Peter Szijjarto holds a press conference following a cabinet meeting in Budapest, Hungary, Wednesday, Feb. 18, 2026. (Boglarka Bodnar/MTI via AP, File) By JUSTIN SPIKE Updated 2:41 AM MESZ, July 21, 2026 Leer en español Add AP News on Google Add AP News as your preferred source to see more of our stories on Google. Share Share Facebook Copy Link copied Print Email X LinkedIn Bluesky Flipboard Pinterest Reddit Budapest, Hungary (AP) — Hungary’s government announced an investigation Monday into a large foreign investment by Chinese automaker BYD negotiated by a former foreign minister who last week resigned from Parliament to take an executive position at the company. Péter Szijjártó’s announcement last Wednesday that he would take the job at the world’s top electric carmaker prompted accusations of a conflict of interest and criticism over his role in facilitating substantial government subsidies to the company while in office. Prime Minister Péter Magyar told lawmakers on Monday that Szijjártó, a close ally of former Prime Minister Viktor Orbán, had helped BYD while he was in office “with hundreds of billions (of forints) in public money, diplomatic support and state infrastructure.” “We will examine all the decisions, negotiations and state commitments made by Péter Szijjártó that were related to the BYD Hungary investment,” Magyar said Monday. He added the investigation would look into all subsidies, tax breaks, permits, environmental exemptions and publicly-funded investments given to large multinational firms during Orbán’s tenure. “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,” Magyar said. Hungary’s former foreign minister quits parliament for Chinese automaker BYD, sparking backlash 2 MIN READ 30 Tens of thousands march in the first Budapest Pride since Viktor Orbán was voted out 3 MIN READ Leaders of four Central European countries meet in Hungary to reboot regional group 3 MIN READ Neither Szijjártó nor BYD have responded to Magyar’s allegations of conflict of interest while Szijjártó was in office. The former foreign minister has posed his new job as a “prestigious” opportunity to work for one the “greatest success stories” in the automotive industry. While serving in government, Szijjártó was instrumental in securing foreign investments in Hungary from Chinese companies, including his now-employer BYD, which received considerable state subsidies during his tenure. In 2023, Szijjártó announced that BYD would open its first European factory in Hungary — allowing the conglomerate to skirt European Union import tariffs on Chinese electric vehicles imposed to protect the continent’s domestic auto manufacturing sector. In 2025, Szijjártó also announced BYD would locate its European headquarters and a research and development center in Budapest and receive 20 billion forints ($63.7 million) in government assistance. The investments were part of the Orbán government’s push to make Hungary a global hub of lithium-ion battery manufacturing, largely through attracting Chinese battery manufacturers who opened a series of plants across the country. The moves led local residents, environmentalists and opposition politicians to protest over fears the new industry would exacerbate existing environmental problems, hit the country’s precious water supplies and further undermine its economy to China. While foreign minister, Szijjártó also maintained close relations with Russia despite its full-scale invasion of Ukraine on Feb. 24, 2022. Breaking with nearly all of his EU counterparts, he frequently traveled to Moscow to negotiate agreements on purchasing Russian oil and gas and to meet with Russian Foreign Minister Sergey Lavrov, whom he referred to as his “friend.” He was embroiled in controversy during Hungary’s 2026 election campaign when the Washington Post reported that he made regular phone calls to Lavrov during high-level EU meetings with “live reports on what’s been discussed.” Szijjártó has dismissed the report while acknowledging that he conferred with Lavrov before and after EU foreign minister meetings about their agenda and decisions. During a government news conference last week, Magyar said that “as far as I know,” an investigation had been launched concerning Szijjártó’s connections to the Russian government. JUSTIN SPIKE Spike is an Associated Press reporter based in Budapest, Hungary. twitter mailto