Conflict of Interest and Investigation
Hungary’s government announced a major investigation into a large foreign investment by Chinese automaker BYD. This probe was triggered after former Foreign Minister Péter Szijjártó resigned from Parliament to take an executive position at the company. Prime Minister Péter Magyar told lawmakers that Szijjártó previously helped BYD with hundreds of billions of forints in public money, diplomatic support, and state infrastructure while in office. Consequently, the government will extensively examine all decisions, negotiations, and state commitments related to the BYD investment. Magyar added that the investigation will also look into subsidies, tax breaks, and environmental exemptions given to large multinational firms during Viktor Orbán’s tenure. Neither Szijjártó nor BYD have responded to the conflict of interest allegations.
BYD’s Subsidized European Expansion
During his time in government, Szijjártó was instrumental in securing foreign investments from Chinese companies, including BYD, which received considerable state subsidies. In 2023, he announced that the conglomerate would open its first European factory in Hungary to bypass European Union import tariffs on Chinese electric vehicles. Later, in 2025, Szijjártó revealed that BYD would locate its European headquarters and a research and development center in Budapest with 20 billion forints in government assistance. These investments were part of the previous administration’s push to transform Hungary into a global hub for lithium-ion battery manufacturing. However, these moves led to widespread protests from residents and environmentalists who feared the industry would exacerbate environmental problems and drain precious water supplies.
Controversial Russian Ties
Beyond the BYD controversy, Szijjártó also maintained close relations with Russia following its full-scale invasion of Ukraine in 2022. Breaking with nearly all of his European Union counterparts, he frequently traveled to Moscow to negotiate oil and gas agreements and meet with Russian Foreign Minister Sergey Lavrov. Furthermore, he faced severe controversy during the 2026 election campaign after reports emerged that he made regular phone calls to Lavrov during high-level EU meetings. Although Szijjártó dismissed reports of providing live updates, he acknowledged conferring with Lavrov before and after EU meetings about their agenda and decisions. Prime Minister Magyar recently stated that an investigation has also been launched concerning Szijjártó’s connections to the Russian government.
Reference
Spike, J. (2026b, julio 21). Former Hungarian Foreign Minister Szijjártó’s role in BYD deal under scrutiny | AP News. AP News. https://apnews.com/article/hungary-probe-byd-deal-szijjarto-2aaa8f568762e2cd92dd1c65bd3c59bd?user_email=bd2c428b35d2f2d999bc6f7e665bad1355a8dd3247b2afc8121729c30cd9a01a&utm_medium=Afternoon&utm_source=Sailthru_AP&utm_campaign=Afternoon%20Wire%20recurring%202026-07-20&utm_term=Afternoon%20Wire