Hungary Opposes EU Tariffs on Chinese EVs, Advocates Support for Local Industry

Hungary's economy ministry opposes the European Commission's newly announced tariffs on Chinese electric vehicle imports, advocating instead for support of the European EV industry. Under PM Viktor Orban, Hungary has strengthened ties with China through significant investments, including over $1 billion in battery plants and incentives for Chinese automakers.

Hungary disagrees with Europe's "brutal" punishment of Chinese electric car manufacturers, its economy ministry said on Wednesday, hours after the European Commission said it would impose tariffs on Chinese electric vehicle (EV) imports.

Hungary under right-leaning Prime Minister Viktor Orban has become an important trade and investment partner for China, in contrast with some other European Union nations seeking to become less dependent on the world's second-largest economy. "Instead of punitive tariffs, the EU should support the European EV industry," the ministry said in a statement.

The European Commission said earlier on Wednesday it would impose extra duties of up to 38.1% on imported Chinese EVs from July. "We disagree with the brutal European punishment of Chinese electric car manufacturers with punitive tariffs," the ministry added. "Protectionism is not the solution."

Hungary has invested heavily by spending more than $1 billion in recent years to support new battery plants on its soil, among others Chinese battery giant CATL's. Hungary also secured the first European factory investment by a Chinese automaker, announced last year by EV giant BYD, with the country offering cash for creating jobs, tax breaks, and relaxed regulation in targeted zones to attract foreign investment.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)