The recent Chinese and Korean investment boom has not broken the German dominance at home.
Despite a decline in the significance of German investments in Hungary over the past decade, Germany remains the largest foreign investor. Investments from South Korea and China have increased, but they still lag behind Germany's share. The German investment stock rose nominally, yet its proportion of total foreign direct investment decreased from nearly 30% in 2016 to 20% in 2024. The National Investment Agency reported that Germany was the most active investor in Hungary, supporting 318 investment decisions from 2014 to 2024. Future German investments are likely to focus on the automotive and defense sectors due to lower costs and European defense initiatives.
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