Hungary probes BYD deal and tightens rules on Chinese EV firms

Hungary's parliament announced an investigation into the large investment by Chinese automaker BYD that was negotiated by former foreign minister Péter Szijjártó, who recently left office to take an executive position at the company. Prime Minister Péter Magyar said the probe will examine subsidies, tax breaks, permits and environmental exemptions granted during Szijjártó's tenure and assess any burden on taxpayers and the environment.

At the same time, the government unveiled a sweeping overhaul of environmental and corporate‑tax rules targeting the battery and electric‑vehicle sector. The new measures, described as the strictest in the EU, aim to curb pollution and end the previous lax enforcement that attracted Chinese manufacturers such as BYD. Authorities have already suspended Chinese battery separator maker Semcorp after groundwater contamination was detected, signalling a tougher stance on foreign firms operating in Hungary.