told Rest of World that they are not against the role of EVs in
combating climate change, but are troubled by what they view as
the government’s opaque decision-making that has silenced public
input.
“Even if [the plant] would have
worked in a safe way … in recent
weeks it has caused unrest among
the [town’s] population and
raised significant public debates
and tension.”
The EV investment boom of recent years boosted Budapest and
Beijing’s relationship, and led to China becoming Hungary’s top
foreign investor in 2023. Almost half of all Chinese foreign direct
investment in Europe now flows to Hungary. The country’s
proximity to EU markets means easier access for Chinese
companies. CATL’s Hungarian gigafactory plans to supply batteries
to carmakers including BMW and Mercedes-Benz, according to
partnership agreements.
In the past, widespread protests and lawsuits against South Korean
factories effectively pressured the government to hold companies
accountable. Local residents formed grassroots networks including
environmental nonprofits, legally challenged companies’
operational permits in court, and voted in new political leaders who
vowed to protect the environment. Authorities fined Samsung SDI
56 times to the tune of nearly $550,000 from 2018 to February
2024, and temporarily shut down SungEel’s operations.
Now, Hungarians are using a civic toolkit honed by their
experiences with South Korean plants — a mix of legal action, civic
protest, and small-town political wrangling — to push back against
the new Chinese factories roaring to life in the Hungarian
countryside.
The Miakö group has been organizing demonstrations and hosting public meetings
in Mikepércs.
The Miakö group of Mikepércs mothers has been organizing
demonstrations and hosting public meetings with technical experts
to help citizens learn more about EV battery technology and
production. Last year, members and town residents launched
lawsuits against Hungarian authorities who had issued safety and
environmental permits for CATL to operate. The court included
CATL as a defendant, allowing the company to present its
arguments. The case is currently stalled. In March, the case’s
presiding judge ruled that those who initiated the suit must prove
they live in an area affected by the factory, which Kozma says is
“hard” to demonstrate.
Similar protest campaigns have expanded to at least 10 Hungarian
cities.
In Ács, a battle is playing out at the courthouse between a local
environmental organization and the county government office that
issued the operational permit for Bamo Technology Hungary, the
domestic subsidiary of a Chinese cathode factory. The trial, which
began this month, could take half a decade to conclude, and has
cost the environmental group tens of thousands of dollars in legal
fees, a resident involved in the lawsuit told Rest of World,
requesting anonymity as they were not authorized to speak to the
media.
Recent rallies in Heves have successfully forced the mayor to cancel
the town’s $109-million contract with China’s BYN Chemical to
build a plant to produce NMP, a solvent for the manufacture of
lithium-ion batteries. “Even if [the plant] would have worked in a
safe way … in recent weeks it has caused unrest among the [town’s]
population and raised significant public debates and tension,” the
mayor wrote on his Facebook page.
Local rallies and protests have seen some success in pausing projects.
As civic action ramps up, so, too, has government pressure. Last
month, the government launched a “special investigation” into
Göd-ÉRT, a civic organization led by a local investigative journalist
that examined Samsung SDI’s activities. Authorities have accused
the association of using foreign aid to influence elections, and are
requesting extensive data and documents that include information
on their press appearances, databases, and “public opinion”
campaigns. Orbán’s office did not respond to Rest of World’s
request for comment.
The women from Mikepércs fear that they will be targeted next. But
they and other activists in Hungary’s small towns say they will
continue their work. They are celebrating other small victories this
year, such as in Alsózsolca, where local protests halted a Slovenian
firm’s plans to build a battery recycling plant. Meanwhile, CATL
told Chinese state media earlier this year that “everything is on
schedule,” and its battery plant near Mikepércs will begin
production in 2025.
“Even if we can’t stop this [CATL] factory, we hope our actions
embolden others,” Csuvarszki said.
Yvonne Lau is a journalist based in Istanbul and Vancouver covering
business and society with a focus on China and Russia.
Additional reporting by Zsuzsa Bodnár and Dóra Győrffy from Göd and Budapest.
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