Hungary becoming a battery superpower: is it a good idea?

Hungarian politicians have repeatedly expressed their desire to turn Hungary into a major battery manufacturing power recently. To this end, several multinational companies have already started production and are planning to make further mega-investments in the future. One such example is the one in Debrecen (for which the Hungarian government is providing HUF 320 billion [EUR 826 million] in funding, Márton Tompos, spokesman of the Momentum Movement, shared). There is growing resistance from society, mainly because of environmental problems. Is it really a good idea to try and make Hungary a battery manufacturing empire? And how likely it is that the country will become one in the near future?

Hungary is specialised in the production of batteries

Foreign capital-led economic growth has been a key element of Hungarian economic policy over the past three decades, Portfolio writes. As the automotive industry shifts more and more to hybrid and electric vehicles, battery production is becoming increasingly important. Ramping this up in Hungary could make the country a factor in the global economy.

Hungary has specialised in the production of automotive and electronics products over the past decades. Thus, the country has the capabilities and skills needed to manufacture batteries. But where does Hungary stand right now on the world’s battery production ladder? Portfolio has examined it.

• Read also: Chaos around battery plants in Hungary