The Prague Post - Hungary protests against Chinese battery plant defy 'Orbanomics'

EUR -
AED 4.114065
AFN 72.259582
ALL 90.790621
AMD 404.158249
ANG 2.004979
AOA 1027.255243
ARS 1706.277137
AUD 1.605841
AWG 2.019222
AZN 1.908846
BAM 1.955598
BBD 2.254667
BDT 138.445698
BGN 1.95798
BHD 0.422456
BIF 3355.553362
BMD 1.120234
BND 1.430852
BOB 13.181638
BRL 5.562192
BSD 1.119484
BTN 106.219027
BWP 15.421407
BYN 3.28696
BYR 21956.591821
BZD 2.251367
CAD 1.568609
CDF 2594.46299
CHF 0.92428
CLF 0.028078
CLP 1105.065844
CNY 7.480981
CNH 7.472639
COP 3552.732992
CRC 510.847228
CUC 1.120234
CUP 26.866225
CVE 110.25361
CZK 24.330933
DJF 199.339408
DKK 7.473811
DOP 68.662907
DZD 150.487454
EGP 61.701626
ERN 16.803514
ETB 182.080891
FJD 2.506193
FKP 0.837532
GBP 0.83759
GEL 2.901844
GGP 0.837532
GHS 12.979659
GIP 0.837532
GMD 82.897735
GNF 9906.976581
GTQ 8.557116
GYD 234.45578
HKD 8.78527
HNL 30.053895
HRK 7.537165
HTG 146.714844
HUF 366.731529
IDR 20269.350965
ILS 3.478944
IMP 0.837532
INR 106.361208
IQD 1697.024692
IRR 2052689.282929
ISK 136.422562
JEP 0.837532
JMD 177.661647
JOD 0.79429
JPY 175.72038
KES 145.354984
KGS 97.962924
KHR 4573.527541
KMF 492.347215
KPW 1008.210806
KRW 1482.658115
KWD 0.348046
KYD 0.932904
KZT 508.267495
LAK 25190.397759
LBP 100245.344367
LKR 371.711601
LRD 190.860284
LSL 18.546684
LTL 3.307761
LVL 0.677619
LYD 7.169259
MAD 10.995664
MDL 20.205913
MGA 5062.477032
MKD 61.598637
MMK 2352.70217
MNT 4032.758987
MOP 9.043866
MRU 44.738378
MUR 52.830672
MVR 17.319246
MWK 1941.099479
MXN 20.912986
MYR 4.576498
MZN 71.587148
NAD 18.546684
NGN 1492.219693
NIO 41.195744
NOK 10.482469
NPR 169.950444
NZD 1.961367
OMR 0.429016
PAB 1.119384
PEN 3.844503
PGK 5.013482
PHP 71.267107
PKR 309.775499
PLN 4.40251
PYG 6474.331183
QAR 4.080578
RON 5.3545
RSD 117.487863
RUB 91.430555
RWF 1653.929144
SAR 4.204519
SBD 9.045421
SCR 15.663382
SDG 673.825035
SEK 11.125947
SGD 1.430432
SHP 0.837151
SLE 25.709792
SLL 23490.757589
SOS 639.733914
SRD 42.176265
STD 23186.587781
STN 24.497469
SVC 9.794988
SYP 14565.285711
SZL 18.546084
THB 37.830725
TJS 10.315634
TMT 3.932022
TND 3.342755
TOP 2.697255
TRY 55.679905
TTD 7.606214
TWD 36.503734
TZS 2963.693842
UAH 50.679165
UGX 4931.490563
USD 1.120234
UYU 44.895362
UZS 13396.616091
VES 985.569686
VND 28949.654292
VUV 133.391269
WST 3.100456
XAF 655.957
XAG 0.020782
XAU 0.000280356799
XCD 3.02749
XCG 2.017492
XDR 0.792064
XOF 655.957
XPF 119.331742
YER 264.491333
ZAR 18.566461
ZMK 10083.456786
ZMW 22.506675
ZWL 360.71498
SSP 6436.51929
MXV 2.360302
  • RELX

    -0.0800

    40.54

    -0.2%

  • BCC

    -0.5500

    77.74

    -0.71%

  • BTI

    -0.9900

    59.48

    -1.66%

  • BCE

    -0.4100

    20.4

    -2.01%

  • RIO

    -0.7200

    83.42

    -0.86%

  • GSK

    -0.4600

    50.75

    -0.91%

  • RBGPF

    2.6200

    72.77

    +3.6%

  • CMSC

    0.0000

    19.6

    0%

  • NGG

    -0.7800

    81.86

    -0.95%

  • CMSD

    0.1800

    19.78

    +0.91%

  • VOD

    -0.3800

    15.74

    -2.41%

  • BP

    1.2700

    51.32

    +2.47%

  • AZN

    -1.0800

    171.49

    -0.63%

  • JRI

    0.0700

    10.75

    +0.65%

  • RYCEF

    -1.7500

    15.26

    -11.47%

Hungary protests against Chinese battery plant defy 'Orbanomics'
Hungary protests against Chinese battery plant defy 'Orbanomics' / Photo: ATTILA KISBENEDEK - AFP

Hungary protests against Chinese battery plant defy 'Orbanomics'

Even as diggers turned over land for one of Europe's biggest electric battery plants, environmental protesters vowed to run the Chinese project out of town.

Text size:

Hungarian Prime Minister Viktor Orban is keen to woo foreign manufacturers and promote the country as a global hub for electric vehicle (EV) batteries.

The market for greener vehicles is expected to surge in response to consumers' worries about climate change, with top carmakers shifting towards developing less polluting vehicles.

But the groundswell of opposition in Hungary's second biggest city of Debrecen is a rare grassroots challenge to the nationalist premier.

Chinese giant CATL is pouring 7.3 billion euros ($7.8 billion) into building a lithium-ion EV battery plant, under a deal announced in August.

Rancorous public hearings followed in January, with angry locals confronting officials over worries about the giga-factory's demands for water and energy, and pollution risks.

"Our most basic need is clean water, clean air and healthy land, not batteries," said protest co-organiser Julia Perge, a 56-year-old civil activist.

Alarm and resistance only grew after last summer's drought, which dried up a lake near the city, a longtime stronghold of Orban's ruling Fidesz party.

Hungary has more than 20 EV battery plant projects under way and hopes to become the EU's second biggest producer in GWh (gigawatt per hour) terms by 2030 behind Germany.

Some of these other sites, too, have been targeted by protesters voicing similar environmental fears.

- 'Decisive' for future -

The government drive is in line with priorities of the European Union, which aims to produce a quarter of the world's batteries by 2030, compared to just three percent in 2020.

The CATL 100GWh factory in Debrecen will reportedly produce enough to power more than a million new cars annually. It is expected to employ 9,000 workers.

The project also tallies with Orban's longstanding policy to look East -- offering lucrative tax breaks, infrastructure and job creation subsidies to lure Asian factories.

It is a pillar of his overall economic strategy -- dubbed Orbanomics by analysts -- but Hungary’s economic performance is sliding, hit by record inflation which is among the highest in the EU and a weakening local currency.

Defending the new Chinese factory on the same day as a protest last weekend, Foreign Minister Peter Szijjarto stressed there was "huge competition" to attract such investment.

"This will be the decisive industrial sector of the future, economic growth will go where these (EV) investments go," he said.

German carmakers Audi and Mercedes already have plants in Hungary and have been switching their focus to electric vehicles, while BMW recently also chose Debrecen for a two-billion-euro EV plant.

- 'Strictest environmental rules' -

With placards reading "Without water, there is no life!", hundreds of flag-waving protesters filled Debrecen's main square on Saturday demanding a halt to the plant.

"People living here were not properly informed, or asked if they wanted this," software engineer Gabor Bogos, 42, complained.

CATL told AFP it was "open for questions and comments" from the local community.

In an emailed comment, it said that it "strives to become a partner in the sustainable development of Debrecen and the wider region".

The government expects the factory to comply with the "strictest possible environmental protection rules", Orban's chief of staff Gergely Gulyas told reporters on Thursday.

He said that many of the protesters' concerns were "based on fake news about the factory".

- 'False' promise -

The promise of new jobs resulting from the factories has also been met with scepticism.

Analysts say they will likely be filled by migrant workers from Asia due to a local labour shortage, as has happened at other new plants.

"The promise that young people will stay local with the construction of factories is false," said professor Dora Gyorffy at Budapest's Corvinus economic university.

State support should be directed at Hungary's crumbling education, social care and health sectors, she said.

Such plants "are not only environmentally destructive, but also do not help economic catch-up" as Hungary itself does not develop batteries, she told AFP.

But few believe the protest will stop the construction -- or that it will grow into a wider wave of discontent against Orban.

"An objection to a particular local issue cannot be easily transformed into a general objection to the government nationally," political analyst Bulcsu Hunyadi said.

M.Jelinek--TPP