Space and Military Projects Under Discussion in Hungary
Hungary and the United States are in talks to form a business agreement that may include collaboration in the space industry and military technology. Hungarian foreign ministry state secretary Levente Magyar shared details on Wednesday, highlighting that while quick progress is unlikely, negotiations are actively ongoing.
Speaking at an event at the Hungarian embassy in London, Magyar explained that specific projects are being considered. These could become part of a broader agreement aimed at reducing the effects of potential US tariffs.
Potential Areas of Cooperation
Although no firm timeline has been set, both nations are exploring options in energy, defence and space. Magyar stated there is significant potential for cooperation, even if formal trade agreements are limited by Hungary’s EU membership.
“We are talking about a few specific projects that could be enveloped into such an agreement,” he said. “There’s a lot of room for working together.”
He also expressed optimism about the impact on Hungary, saying, “We very much hope that big things can be done for the benefit of the Hungarian people.”
Economic Context and Tariff Concerns
Hungarian Prime Minister Viktor Orban, who is closely aligned with former US President Donald Trump, said in April that Hungary expects to finalise a business deal with the US within six months. Orban acknowledged that tariffs would be negative but suggested that new economic agreements could help offset the impact.
Hungary, a member of the European Union, cannot sign separate trade deals with non-EU countries. Despite this, Magyar hopes a cooperative business deal can still be achieved.
Hungary’s economy relies heavily on its car industry, which is vulnerable to US tariff measures. This risk comes as Hungary faces a slow economic recovery and ongoing efforts to control inflation ahead of the 2026 elections.
In a positive turn, Trump recently paused plans to impose 50% tariffs on EU imports. A new deadline of July 9 has been set, giving time for fresh negotiations between the US and the EU.
with inputs from Reuters
