Thread by @panyiszabolcs

Why is Germany brokering an EU budget deal that lets Hungary off the hook & makes virtually impossible to sanction Orban’s rule of law breaches?

German companies were actually instrumental in building Orban's system from which they benefit hugely. THREAD direkt36.hu/en/a-magyar-ne…

2/ I published my in-depth reporting on Germany's automotive industry and Hungary a few months ago.

One main takeaway is that “executives of several German carmakers (...) absolutely feel that the Hungarian government is in their pockets”, a German business source told.

3/ Whenever the German automotive industry needs some lobbying in Brussels, Viktor Orban is there to help them out.

"Orban defends the interests of German car manufacturers in the European Council”, a former senior Hungarian government official told.

4/ Orban managed to build a powerful propaganda machine partly because German companies like Axel Springer or Deutsche Telekom were willing to sell their media outlets.

Moreover, large German companies tend not to advertise in Hungarian outlets critical of Orban...

5/ Some figures:
-Orbán's gov’t hands out more state subsidies to German companies (€122m last year) than to Hungarians (€72m)
-Audi has received 4X as much support in proportion of jobs in Hungary as in Germany
-BMW is getting a total of €361m from Hungary for a new plant

6/ It’s not just about cars, but arms.

Last year, Angela Merkel actually praised how well Hungary is spending EU funds.

At the same time, the Orban government started a military spending spree & ordered tons of weapons from Germany.

More than the German army itself.

7/ Orban’s government uses German business interests as leverage in the debates over linking EU funds to rule of law criteria or Fidesz’s @EPP membership.

8/ Orban’s government is micromanaging its German relations with the help of some well-connected friends in the CDU who usually fly under the radar.

Like this guy with the weird mustache:

9/ But nobody has been more instrumental in the success of Viktor Orban’s German outreach than an old pair of friends, former Daimler AG manager Klaus Mangold and former EU Commissioner Günther Oettinger.

Both are well-connected in the CDU - and both are on Orban’s payroll.

10/ @AndrasSzab on Mangold’s Hungarian contracts: "The German car industry and the wider economic relations are so important for the Hungarian government that it has even contracted a special advisor for their facilitation. This person is Klaus Mangold” direkt36.hu/en/mr-oroszors…

11/ “Seit Jahrzehnten sind die Interessen deutscher Politiker:innen und die der ungarischen Regierung eng miteinander verknüpft, das zeigt diese Recherche unseres ungarischen Partnerprojekts @direkt36.”

German version of the article on @krautreporter: krautreporter.de/3528-wie-vikto…

12/ And here’s @Nieuwsuur’s take on German-Hungarian relations (by @saskiadekkers) where I’m talking about my investigation:

https://twitter.com/nieuwsuur/status/1335694795684057088

13/ Some interesting news only a few days after the EU budget/postponed rule of law conditionality deal: Daimler will invest more than €100m in its Mercedes-Benz plant in Hungary with the Orban government contributing €43m in state subsidies. europe.autonews.com/automakers/hun…