Hungary FM: This Is Safest Place in Europe for East-West Cooperation

The safest location in Europe for East-West cooperation is Hungary, which has already benefited greatly and will continue to benefit from the strategy of economic neutrality, Foreign Affairs and Trade Minister Peter Szijjarto said in Beijing on Tuesday.

Hungary's Foreign Affairs and Trade Minister Peter Szijjarto (Photo: MTI/Attila Kovacs)

In his speech at the opening ceremony of the second China International Supply Chain Exhibition (CISCE), the Hungarian minister first welcomed that the traditional friendship between the two countries has remained stable despite the current difficult circumstances, the statement by the Ministry of Foreign Affairs and Trade reads.

Seventy-five years have passed since the establishment of diplomatic relations, he explained, adding that since then cooperation between Hungary and China has developed  spectacularly, to the mutual benefit of both sides.

He expressed gratitude for Hungary being selected the guest of honor at the event, which he noted as being timely given the challenges of today's global environment.

The disruption of supply chains, geopolitical tensions and soaring energy costs pose enormous challenges for the economies of our nations,

he stressed.

He then expressed concern over the world once again moving towards blocification, which is completely antithetical to Hungarian national interests. The government would instead like to see the strengthening of connectivity.

Our hope is that in the future East and West will be able to cooperate in a civilized manner, based on mutual respect and mutual benefit. We call this a strategy of economic neutrality,

he highlighted.

There are historical, economic and geographical reasons behind this strategy, Mr Szijjarto pointed out, explaining that Hungary's overall experience in the past has been that it has always lost out when East and West were pitted against each other.

He also noted that Hungary is a medium-sized country, with no coastline and no energy resources, so our strategy is based on skilled labor, attracting investment and deep-rooting integration into the world economy. Therefore, the disrupting of world trade would impose highly significant constraints on Hungarian economic growth, he underlined.

And the geographical reason underlying our strategy is that with a distance of 7335 kilometers between Budapest and Washington and 7340 kilometers between Budapest and Beijing, we are in the middle, halfway between the two,

the minister noted.

Hungary's economic neutrality strategy also coincides with China's One Belt, One Road initiative, and cooperation along these lines will provide a solid basis for future gross domestic product (GDP) growth.

Hungary has already greatly benefited from economic cooperation with China and is now the number one destination for Chinese investment in Europe. Roughly 44 percent of China's investments in Europe went to Hungary last year.

Minister Szijjarto also specifically mentioned some of these giant investments, such as CATL's construction of the largest electric battery factory on the continent in Hungary, which will start production next year. BYD is also setting up its first European plant in Hungary, where hundreds of thousands of cars will be produced. But he said that further investments are also in the plans.

These Chinese investments are bolstering economic growth in Hungary. They bring in the latest technologies that will improve our national economy and raise the level of added value, research and development and innovation. These investments also create stable jobs, offering our families a stable future. And they will truly shorten supply chains, providing security and stability in the midst of today's dangerous environment,

he stressed.

Most of these investments come to Hungary because Hungary provides the safest location in Europe for East-West cooperation,

he added.

We have become the number one meeting point in Europe for German and Chinese investors (...) This shows that our strategy of economic neutrality is the right one to follow. In fact, it is the only correct strategy. And it is the strategy that will make the upcoming year a fantastic year for the Hungarian economy through strengthened cooperation between China and Hungary,

the minister concluded his speech, according to the statement.

Cover photo: Hungary's Foreign Affairs and Trade Minister Peter Szijjarto (Photo: MTI/Attila Kovacs)