Hungary, South Korea agree investment promotion and trade development pact

Hungary and South Korea have agreed to sign an investment promotion and trade development agreement, Péter Szijjártó, the minister of foreign affairs and trade, said on Monday.

Szijjártó said on Facebook that the agreement he signed with South Korean Trade Minister Ahn Duk-geun in Dunakeszi near Budapest would help bring more investments to Hungary. Given that South Korean companies are leaders in the global electric vehicle industry, their investments in Hungary are crucial, the minister said.

South Korean EV industry players like Samsung SDI, SK Innovation, W-Scope and others have created more than 10,000 jobs in Hungary in the recent period, he said. Meanwhile, bilateral trade turnover reached a record 5 billion US dollars last year, he said, adding that Hungary will soon resume meat exports to the country.

The minister emphasised the importance of investments carried out by reliable and strong Eastern businesses at a time when “Europe is rapidly moving towards a recession due to Brussels’s failed sanctions”.

Thanks to its balanced economic policy, political stability and the fact that it has the lowest taxes in Europe, Hungary is an attractive investment destination for large Eastern companies, Szijjártó said.

Eastern countries have been the biggest sources of foreign investment in Hungary since 2019, with South Korea being the top investor in 2019 and 2021 and China in 2020 and this year, he said.

These Eastern investments are what will prevent Hungary from getting caught up in the European recession, he added.

This article is in Korean HERE.