In the Balkans, China’s relations with Serbia are more than close. Suffice it to think that Serbia’s state television interrupted its broadcast of the Eurovision contest to connect live to the airport upon the Chinese President’s arrival in Belgrade.
After the end of the talks between Serbian President Aleksandar Vucic and his Chinese counterpart Xi Jinping, the international media characterized the China-Serbia relationship as “all inclusive,” since there was no issue on which Everything points to China’s next stop being Central Europe, with Hungary playing a dominant role in expanding Beijing’s sphere of influence on the European continent.
Hungary has evolved into a key ally of Beijing with Chinese investment out of proportion to the country’s size. Both sides seem to enjoy this privileged relationship they have acquired.
The European Union is strongly annoyed by Hungary, which, unlike Serbia, is a member state, but despite any reactions, no one in Budapest seems willing to accept the European admonitions.
In Budapest, President Xi found a particularly positive environment, similar to that in Belgrade. The two countries signed 16 new agreements covering almost everything from cars to nuclear power.
And while other European capitals are moving away accepting the U.S. strategy that calls for Europe’s disconnection from China, Hungary is doubling down on relations with Beijing. Given the fact that China has so far invested more than €16 billion in Hungary, thanks to which the country has become a European leader in the manufacture of electric vehicles and batteries, it is very difficult to convince the Hungarians to “slow down.”
Will Slovakia be the next stop for China?
The ideological identification of Slovakia’s foreign policy with some of China’s key positions appears to be what is pushing Beijing to reach out to Bratislava.
Besides, the Prime Minister of Slovakia, Robert Fico, does not shy away from hiding his admiration for the economic relationship that Hungary has built with China, as a result of which he is willing to do whatever it takes to attract as many Chinese investments as possible to the country.
However, as several observers report, Slovakia officially maintains an ambivalent attitude towards Chinese investments, however, it is not excluded that in the near future a fierce competition will develop with Hungary for which country will attract the most Chinese investments.
We got a taste of that competition in 2022 when Slovakia and Hungary battled it out for the Chinese-owned VOLVO EV factory. Finally, the factory was built in Slovakia with an investment that reached €1.2 billion.
The EU is troubled by the developments
With cooperation with China bringing significant economic benefits, several European states are ready to “listen” with “great attention” to Beijing.
In the opinion of several European officials, Chinese investments are not just investments, but contain strong doses of cultural and political influence.
For example, in Hungary, as in Serbia in 2019, a recent agreement allows for joint police patrols with Chinese police officers.
Another agreement between the two countries’ public broadcasters involves the airing of Chinese propaganda on Hungarian state media. What is not openly said, but strongly implied in Brussels, is that growing Chinese influence could drive Hungary, and other European states, away from the EU. And as for Hungary, its unity with the EU is already quite shaky.