Hungary Lends a Helping Hand to Struggling German Automakers

Hungary has accelerated the creation of a competitive economic environment so that factories do not close, as is the case in Germany and other EU countries. In an interview with state radio station Kossuth, Hungarian Prime Minister Viktor Orban said he had extended “a helping hand” to stranded German automakers.

While thousands of Volkswagen workers in Germany are taking part in protests against the closure of three industrial plants, Orban said he had spoken to representatives of German automakers who told him they considered the Hungarian economic environment much more favorable than the German one and that jobs at branches in Hungary would be preserved.

“In Germany, car factories are closing, and our task is to prevent this from happening in Hungary. The entire region will sink into despair if Audi, part of the Volkswagen group, or Mercedes closes,” Orban said. “I have discussed this topic, these factories will develop, jobs will be preserved because the Hungarian economic environment is more favorable for them,” emphasized the prime minister, whose country is currently the rotating president of the European Union.

“If Hungary works skillfully and remains economically neutral, if Washington and Beijing are important to us and we find the right balance, everything will be fine,” Orban said, pointing Europe to “Hungary’s Demjan program to support small and medium-sized businesses.” According to Orban, “this program will be implemented through the Chamber of Commerce and Industry. There are 900 thousand small and medium-sized enterprises in Hungary, employing two-thirds of the workforce, so their development is a fundamental issue for Hungary’s political and social stability,” Orban emphasized.