BYD Faces Environmental Investigation at Hungary EV Plant

Hungarian police are investigating BYD over suspected breaches of environmental rules at its electric vehicle factory site in Szeged.

The Csongrád-Csanád County Government Office filed a criminal complaint on May 12 against BYD Auto Hungary Kft for failing to comply with the conditions of its environmental permit, according to state news agency MTI.

Police in Szeged have opened an inquiry into suspected environmental damage. The investigation, which involves experts, is focusing on excavated soil authorities suspect contains alkylbenzene above permitted contamination thresholds.

This material was allegedly moved and deposited at several external locations. 

Alkylbenzene refers to a group of chemical compounds, including some benzene derivatives, that are recognized as posing environmental risks at elevated levels under Hungarian regulations.

The county government office said it has monitored the project since construction began in 2024 and carried out checks in various areas. In the first quarter of 2026, it started proceedings specifically related to environmental compliance.

Minister for the Living Environment Gajdos László addressed the issue in an article published by news outlet 444.hu on Facebook, saying, “I have learned that BYD has seriously violated its obligations under the environmental permit during the construction of the factory to be established in Szeged.”

The minister added that he had consulted relevant authorities and local MP Péter Stumpf, who briefed him on the situation, the extent of the alleged violations, and residents’ concerns.

He called on BYD “to immediately cease their environmentally damaging activities and fully comply with their obligations imposed by the authorities.”

BYD Hungary said it could not comment on ongoing investigations. In a statement, it stressed that the company “attaches great importance to environmental protection during the construction and operation of factories.”

It added, “During the construction of the Szeged factory, BYD Hungary has continuously and actively cooperated with the competent authorities in accordance with the pre-determined procedures.” 

The company said it had contacted the ministry and begun constructive discussions.

The Szeged plant is BYD’s first passenger vehicle manufacturing facility in the European Union. A unified environmental permit was issued for the project in 2025 by the county government office.

No charges have been brought, and the investigation remains at an early stage. Authorities have not released details on the volume of soil involved or the exact external sites.

This case is separate from previous issues at the site, including a fatal workplace accident earlier in 2026 and labor concerns raised by monitoring groups. Those matters have triggered different inquiries.

Further updates will depend on expert findings in the police investigation.