2026 - BCSDH

What makes a new building sustainable?

Sustainability is no longer merely an optional consideration in real estate development; it is increasingly becoming a fundamental market and societal expectation. In this article, we focus on sustainability aspects at the building level. In case of new developments, it is particularly important that developers define their sustainability objectives already at the earliest stage of the project and consistently integrate them into the design, construction, and commissioning processes. The BREEAM International New Construction certification system provides a structured and internationally recognised framework for this, assessing the environmental and user performance of buildings in a comprehensive way.

Sustainability mindset throughout the entire project lifecycle

In our previous article, we demonstrated in the context of a district-scale development’s preparation stage how sustainability principles can already be integrated at such an early phase through the BREEAM Communities certification. At the building level, this approach can naturally be refined and quantified even further. In case of new buildings, early commitment to sustainability objectives is equally crucial. It is already worthwhile to define at least general sustainability goals at the strategy formulation stage. An international building certification scheme can also provide a suitable framework for this purpose. For new buildings, the British BREEAM International New Construction system is commonly used.

The BREEAM New Construction framework spans the entire lifecycle of a development—from the initial project brief, through design and construction phases, to handover and commissioning. These are all key project stages, each of which can be governed by requirements related to a specific topic, or to be tailored to specific phases, such as construction.

We are often asked by clients approaching Realiscon whether a high energy performance rating alone guarantees the achievement of a green building certification. It is important to emphasise that sustainability does not only mean low energy consumption, but rather a far more complex approach. Across the building’s full lifecycle, factors such as material use, pollutant emissions, water consumption, and waste management should also be considered.

Material use, comfort, and environmental impacts

In addition to operational carbon emissions from energy use, embodied carbon is receiving increasing attention, as it also accounts for emissions associated with the production of construction materials and the construction process itself. Therefore, already at the design stage, it is advisable to prioritise—or even specify—materials that are responsibly sourced, made from recycled content, or characterised by low environmental impact. Conscious material selection can also bring additional benefits, such as longer service life, lower maintenance requirements, and reduced amount of construction waste.

Within BREEAM assessments, another key principle and highly weighted topic is the creation of a healthy and liveable built environment that considers user well-being. This includes several areas: thermal comfort, acoustic comfort, adequate indoor air quality and fresh air supply, as well as daylight and views. A well-designed building can improve occupants’ productivity and well-being and have a positive impact on their health.

Another key assessment area is the minimisation of harmful emissions. This includes the building’s light and noise pollution impacts on its surroundings, as well as waste management. Perhaps even more important is the building’s approach to greenhouse gas emissions during operation, and water management, including stormwater retention and discharge strategies. Each of these aspects offers significant optimisation potential when addressed early in the design process.

Water use, location, and ecological considerations

From BREEAM perspective, a sustainable building also aims to minimise water consumption through water-efficient fittings and by monitoring water use and potential leaks. This can be further enhanced if rainwater or greywater reuse systems are also designed and implemented. In shell & core developments, we often see examples where the developer installs part of the infrastructure required for rainwater harvesting up to a certain point, after which it can be further developed and commissioned based on tenant requirements.

The sustainability performance of a building is also influenced by its location. Sites with good access to public transport and local services can significantly reduce transport-related emissions by limiting reliance on private car use. While such locational characteristics are often fixed, developers can still play an active role by encouraging sustainable mobility choices, for instance by supporting cycling infrastructure and alternative transport options.

A sustainable development should not only minimise negative impacts but, where possible, improve the ecological condition of the site through thoughtful planting schemes, wildlife-friendly solutions, and biodiversity enhancement.

Construction, commissioning, and long-term operation

As mentioned earlier, the construction process is also a key factor. Significant amounts of waste can be generated during this phase, and large quantities of energy and water can be wasted if not properly managed. Additional credit can be achieved if the construction site is well organised, kept clean, and processes are well managed and documented.

Unfortunately, we often see cases where the design and construction phases deliver a high-quality, energy-efficient building in terms of its mechanical systems, yet fall short during the handover phase. Insufficient commissioning procedures, inadequate operator training, and incomplete operational documentation can leave facility managers without the necessary information to run the building effectively. As a result, the intended performance of even advanced building systems may not be fully realised. Addressing this gap is therefore a key requirement within building certification schemes, which emphasise structured commissioning and well-managed handover processes.

A sustainable building is therefore far more than an energy-efficient property. True sustainability is the result of conscious decisions affecting the building’s entire lifecycle. Sustainability decisions made at an early stage not only bring environmental benefits, but also deliver long-term economic and operational returns, while creating a healthier and more liveable built environment for users.

Enikő Kluha, Head of Sustainability

26.05.2026

Building on a 200-year legacy: Zwack Unicum Plc. has published its new ESG strategy for the period 2026–2040

Member News

Zwack Unicum Plc. has developed its new, long-term ESG strategy, which defines the company’s sustainability goals and focus areas for the period between 2026 and 2040. The target date of 2040 is also an extremely important milestone: the company will celebrate the founding of its first plant and the 200th anniversary of the registration of the Unicum brand name.

For this family-owned company with a history spanning more than two centuries, sustainable and responsible operations are not a new concept, but an integral part of the company’s DNA. József Zwack was already thinking ahead in the 19th century when he established a pension fund for the factory’s workers, thereby supporting their financial security in old age.

“As a family business, I believe that Zwack Unicum has a unique opportunity – and responsibility – to introduce into the wider business world the values that have sustained the family for generations. These include caring for each other, cultivating cooperation and trust, thinking long-term, and prioritizing the collective good over individual interests,” emphasized Izabella Zwack, a member of the Board of Directors. She added that the goal is for their activities to leave a positive mark on society, creating value that goes beyond mere economic results.

The three main focus areas of the 2026–2040 strategy

Building on the 2025 base year, the company has defined its commitments along three pillars, of which responsible corporate governance—which takes ESG considerations into account—serves as the foundation and enables sustainability to be even more deeply integrated into everyday operations:

ESG-conscious corporate governance and an exemplary business culture (G): The strategy is based on the principle that ESG considerations will henceforth be an integral part of every business decision. An open and inclusive corporate culture, ethical operations throughout the entire value chain, and responsible procurement (for example, taking biodiversity into account) are all part of prudent corporate governance.

Related indicators include, for example, that we audit 3 of our suppliers annually according to ESG aspects, that 100% of our contractual partners declare their acceptance of the content of our Partner Ethics Statement, and that ESG aspects are also integrated into the performance evaluation of managers.

Environmental Responsibility (E): The company has already taken significant steps to minimize its environmental impact: thanks to investments in geothermal and solar energy, its Scope 1-2 carbon dioxide emissions have decreased by 61% compared to 2016. Future goals include even more efficient resource use and strengthening operations based on the circular economy (renewable, recycled, and recyclable materials).

To this end, we plan to reduce our Scope 1 emissions by 93% by 2030, replace 60% of our company vehicle fleet with electric or hybrid vehicles, and ensure that 100% of the waste generated during production and the extracted herbal plant parts are used for biogas production.

Positive Social Change (S): Zwack places a strong emphasis on promoting responsible alcohol consumption, which includes consumer education, accurate information, and the development of non-alcoholic alternatives. Additionally, the company remains focused on maintaining a safe, health-conscious, and development-supporting workplace, as well as supporting local communities.

Our short-term goals include providing training on responsible alcohol consumption to 1,000 catering establishments in addition to our own employees, ensuring that 100% of our permanent employees receive performance reviews, and providing all our colleagues with 8 (paid) hours to participate in community initiatives.

Measurability and Transparent Implementation

The strategy, developed with the support of RTG Corporate Responsibility Ltd., aligns with the company’s organizational culture and emphasizes the tracking of results. CEO Csaba Belovai stated: “We assign clear KPIs to the set goals, with baseline and target values, defining the expected impacts, specific deadlines, and the necessary resource requirements as well. Thus, the strategy not only provides direction but also offers a measurable and accountable framework for implementation.”

Zwack Unicum Plc’s complete ESG strategy, as well as further information on sustainability, can be found on the company’s website: zwackunicum.hu/fenntarthatosag.

26.05.2026

Sparrow colonies, sheep grazing, bat boxes, owl pellets: E.ON greens its sites with environmental initiatives

Member News

As part of its biodiversity action plan launched in 2023, E.ON Hungária Group is making its sites greener. The company, which operates the electricity grid across Transdanubia, Pest County, and Budapest, is enhancing biodiversity at 90 company-owned locations — including facilities, power plants, solar parks, and substations — creating a more livable environment for local wildlife.

Recent initiatives include installing nesting boxes for falcons, swallows, songbirds, and bats, establishing bee pastures, restore natural meadow character, planting trees and shrubs, and placing stone and wood piles as shelter for insects and lizards. This year, sheep will replace traditional mowing and chemical weed control at three solar parks, while birds of prey have been attracted to handle rodent control naturally in Mohács, and protected ground squirrels and wild hares have found habitats at other sites.

The company’s long-term goal is to increase biodiversity and create habitats where species can complete their entire life cycles. To achieve this, it ceases mowing wherever possible and establishes green corridors free of invasive species, enabling the natural spread of wildflowers and more diverse plant communities.

Every intervention is preceded by a thorough ecological assessment, carried out in cooperation with professional partners, experts from the National Parks located in E.ON’s service area, the Hungarian Ornithological and Nature Conservation Society (MME), and other supporting organizations and universities.

26.05.2026

ESG-certification: deadline approaching, it is worth clarifying the tasks in time

Member News

By June 30, the affected companies must prepare their certified ESG-reports. For many companies, it is now becoming a truly practical question how well-organised their ESG-data are, how traceable their internal processes are, and whether they will be able to find an accredited ESG-certifier in time.

There is visible uncertainty in the market. Companies are preparing for reporting at the same time, while certification capacity is still developing. In this situation, it is particularly important that preparation is not left to the final weeks.

Our sustainability team, which has gained significant experience in recent years in carbon footprint calculation, EHS-data and the assurance of sustainability reports, was among the first to obtain ESG-certification accreditation.

What can be expected?

By June 30, the affected companies must prepare a certified ESG-report.
Certification capacity may be limited, so timing may become a business risk.
ESG-certification examines whether the statements in the report are supported by data, evidence and a consistent methodology.
With good preparation, certification is not only a compliance task, but also useful management feedback.
Grant Thornton supports companies in the process as an accredited ESG-certifier.

Why is ESG-certification now coming into focus?

For a long time, the ESG-report seemed more like a reporting task. Certification, however, creates a different situation: it is not enough to present the company’s sustainability performance; it must also be supported by appropriate data and documents.

This is particularly challenging when ESG-information comes from several organisational units, is available in different formats, or has no clearly defined owner responsible for data collection. In such cases, certification quickly shows where the system works well and where clarification is needed.

The June 30 deadline will therefore be the first real test for many companies of how far ESG-data management has been integrated into operations.

What does the ESG-certifier examine?

The purpose of ESG-certification is to independently confirm that the statements included in the company’s ESG-report comply with the criteria defined by law.

The certifier examines whether the statements in the ESG-report:

are free from material misstatement,
can be traced back to original data,
are supported by evidence,
are based on a consistent methodology.

The assessment may also cover the content and formal compliance of the ESG-report, the accuracy of completed ESG- and supplier questionnaires, and the operation of the applied risk management system.

The materiality assessment is also an important element. It shows whether the company is truly focusing on the environmental, social and governance topics that have a material impact from the perspective of its operations and stakeholders.

How does the certification process work?

ESG-certification consists of several steps and starts even before the cooperation begins.

In the preparation phase, conflicts of interest are reviewed, the scope of the engagement is defined, and a preliminary risk assessment is carried out. This helps determine the focus and resource needs of the certification.

This is followed by contract signing and notification to the authority. In the planning phase, a readiness assessment is prepared, and based on this, the certification plan is developed. This sets out the schedule, the areas to be examined and the methodology to be applied.

During implementation, document analysis, interviews and an on-site visit take place. Based on the evidence collected, a professional conclusion is prepared, which forms the basis of the certification report.

The process is closed by an independent review. In the case of a positive result, the company receives an ESG-certificate, which is valid for five years.

Where do companies usually get stuck?

In certification, the greatest difficulty is often not the writing of the report itself, but the traceability of the data.

Common questions include:

exactly where the given ESG-data comes from;
who approved it;
what methodology was used to calculate it;
whether there is documented evidence behind it;
whether the same logic was applied throughout the entire report.

If there is no quick and clear answer to these questions, certification may become more time-consuming. This is why it is worth assessing at the beginning of the process how ready the organisation is for the review.

Why is certification useful beyond compliance?

A certified ESG-report builds trust among investors, clients and business partners. It also provides valuable feedback to management on how reliable the sustainability data are and where internal processes should be improved.

Certification helps filter out uncertain statements, strengthens data quality, and makes responsibilities clearer. This is particularly important where ESG-data already play a role in financing, procurement or reputational decisions.

In sustainability communication, what is verified has increasing value. ESG-certification provides a point of reference here: it helps separate intention from provable performance.

Why is it important to choose a certifier in time?

In the coming period, several companies may be preparing for the certification of their ESG-reports at the same time. This may create a practical risk because of certification capacity, especially for those who start the process late.

Choosing an accredited certifier is not merely a procurement matter. The partner must understand the regulatory environment, corporate data processes and the business logic behind ESG-reports.

Grant Thornton’s ESG-certification methodology is based on the MSZ EN ISO/IEC 17029:2020 and MSZ EN ISO 14065:2022 standards, as well as the relevant Hungarian legal environment. This ensures that certification is a controlled, consistent and professionally grounded process.

Prepare for ESG-certification in time

If your company is affected by the June 30 deadline, it is worth reviewing the status of your ESG-data, internal processes and responsibilities now.

Grant Thornton, as an accredited ESG-certifier, supports its clients in the preparation and in carrying out the certification process. Contact our experts so that we can clarify the next steps in time.

26.05.2026

Mastering circular economy

Member News

In January 2025, I was shocked when I looked at our Power BI sustainability report.

Two numbers immediately stood out:

We had used 12,000 garbage bags in 2024.
During peak periods, the garbage truck collected several hundred kilograms of waste from us every week.

And this was despite having dozens of selective waste collection points across our facility.

The issue kept bothering me because we had already placed a very strong emphasis on selective waste collection.

So one Sunday, I personally went “dumpster diving” — collecting and analyzing the contents of our waste bins.

The next day, we held a staff training session focused on waste management. I brought the previous day’s garbage into the meeting room and emptied it onto a large plastic sheet.

Within minutes, we reached two very clear conclusions:

Even though we provided selective waste collection, visitors did not consistently separate waste correctly. Selective bins contained mixed waste, while recyclable materials often ended up in general waste bins.
A significant portion of our garbage bags were still perfectly usable when thrown away.

In other words:
our selective collection system was far less effective than we believed — and, painful as it is to admit, we were wasting garbage bags as well.

At that point, my mind went back to 1992, when I wrote my MBA thesis on the then-revolutionary concept of Business Process Reengineering (BPR).

The essence of BPR is simple:
learn to think outside the box and eliminate the “ugly worms of habit.”

So we started redesigning the entire process.

We immersed ourselves in circular economy thinking, added a small technological innovation, and eventually achieved what felt like a small miracle:

With just 10–15 minutes of additional daily work, the real waste generated by 1,500 visitors now fits into a single 220-liter bag.

So what changed?

Instead of placing garbage bags inside large bins, we reversed the logic:
we brought large enough collection containers to the garbage bags and emptied waste into them. Only bags that were already damaged or worn out were discarded.
We re-sorted the collected waste on a specially designed sorting table into 23 different categories, of which only ONE was landfill waste. This means that 22 different material types were guaranteed to find a new „purpose of life” and re-enter the circular economy.

We purchased a used industrial compactor. The remaining mixed waste is compressed, achieving an average volume reduction of 70–90%.
The entire system requires only 10–15 minutes of extra work per day.
We also introduced a new KPI:
“Landfill waste generated per 1,000 visitors.”

We launched the system last April, and now — one year later — we finally see the full annual results:

Garbage bag usage decreased by 80%
• Lanfill waste volume decreased by 90%
• Our new KPI reached: 40 kg of waste per 1,000 visitors

The graph below shows the numbers, the 23 waste categories, and a few images of the new process.

Sometimes sustainability does not require expensive miracles.

Sometimes it simply requires questioning old habits.

This process is scalable, can be freely adopted by companies of any size. Like everything else, this also begins with the right mindset….

22.05.2026

Sustainable, regenerable adsorbent-based arsenic removal technology

Member News

Drinking water source contamination by arsenic remains a significant challenge in the Danube region. Long-term safe drinking water supply can only be ensured through modern, sustainable, and cost-efficient water treatment technologies.

Alongside traditional, chemical-intensive arsenic removal methods, regenerable adsorbent technologies are gaining increasing importance. These specialized filter materials are capable of efficiently removing both arsenic (III) and arsenic (V), while the adsorbent material itself can be reused multiple times. The regeneration process generates only minimal hazardous waste, thereby supporting the principles of the circular economy.

Regenerable adsorbent systems offer not only environmental but also economic advantages. According to life-cycle cost analyses, they provide lower long-term operational and waste management costs compared to conventional solutions. This is particularly important for EU-funded water utility developments, where sustainable operation and long-term cost efficiency are key requirements.

The Pureco Group is a leading water industry player in the region. Puraset Ltd., a member of the group, manufactures proprietary regenerable arsenic removal filter media and has extensive domestic and international references in the field of drinking water arsenic removal. The company’s technologies provide a modern, long-term, and economically sustainable solution to the growing demand for sustainable water treatment systems.

In future water utility developments, it is becoming increasingly important that investments are not only cost-effective in the short term, but also ensure stable operation, environmental sustainability, and safe drinking water supply over decades. Regenerable adsorbent technologies can play a key role in achieving these goals.

22.05.2026

Biogas today – Far more than an alternative renewable technology

Member News

„What makes biogas particularly important is that it is not simply an energy technology, but a complete circular economic system connecting waste management, renewable energy production, agricultural nutrient recovery, and carbon reduction.”

This was one of the key messages shared by Anita Simon, Deputy CEO responsible for Sustainability and Circular Economy at ALTEO, at the Budapest Biogas Summit 2026. She presented how ALTEO has transformed biogas operations into a fully traceable, audited, and economically sustainable circular energy model.

Food industry rejects, expired products, agricultural by-products, and organic waste streams can all be safely processed within a controlled system, transforming waste into renewable electricity, heat, biomethane, and agricultural nutrients.

Companies – especially retail chains and manufacturers – are increasingly making decisions based on ESG considerations, and biogas gives them the opportunity to combine their waste management with the use of green energy. Good examples show that up to 800–1000 tons of packaging material per year can be used for energy recovery instead of landfilling.

22.05.2026

Coca-Cola HBC Hungary enhances its logistics system with alternative fuel vehicles

Member News

Coca-Cola HBC Hungary is working on the implementation of modern logistics solutions that not only improve operational efficiency but also help reduce environmental impact. This effort forms part of the company’s commitment to achieving net zero emissions across its entire value chain by 2040. Through the continuous development of its vehicle fleet, the company is exploring and applying the potential of various alternative fuel technologies within a complex, nationwide distribution network.

In recent years, Coca-Cola HBC Hungary has taken conscious steps to ensure that sustainable technologies play an increasingly important role in its logistics operations. By modernising its vehicle fleet and gradually integrating alternative fuel transport solutions, the company aims to reduce environmental impact while maintaining efficiency and preserving the operational reliability of a large-scale, complex system.

The nationwide distribution network, built around two domestic production plants – Dunaharaszti and Zalaszentgrót – and eight logistics centres, was previously served entirely by a diesel-powered vehicle fleet. In recent years, alternative fuel vehicles have been gradually integrated into this system: alongside the LNG-powered and electric trucks operated by transport partners, electric trucks and vans have also been added to the company’s own fleet.

This development is particularly significant because Coca-Cola HBC Hungary’s logistics operations simultaneously serve short- and long-distance transportation needs, customer orders, inter-depot goods transfers and urban distribution. Thanks to their range of 850–900 kilometres, LNG-powered trucks are primarily used for depot-to-depot transport and long-distance customer deliveries, while electric trucks with a range of approximately 300 kilometres play an important role in distribution tasks in Budapest and the surrounding areas. Based on experience to date, alternative fuel vehicles can be integrated into the system reliably: their operation does not require higher expenditure, and their failure rates do not differ significantly from those of conventional vehicles. In the long term, the initiative forms part of a phased development roadmap supporting gradual transition, through which the company is expanding its low-emission fleet and further strengthening its sustainable logistics operations based on practical experience.

At present, the green vehicle fleet supporting logistics operations includes three LNG-powered and three electric trucks operated by transport partners, while the company’s own fleet comprises two electric trucks and six electric vans supporting daily operations. The company continuously monitors vehicle mileage and estimates the emission reductions achieved using alternative fuel technologies compared to diesel vehicles. Between 2023 and 2025, alternative fuel vehicles used in Coca-Cola HBC Hungary’s logistics system covered nearly 943,000 kilometres, resulting in CO₂ savings of more than 335 tonnes.

“Applying alternative fuel vehicles in a complex transportation system creates real value only if they operate in a stable and reliable manner during everyday logistics tasks. Our experience shows that LNG and electric solutions can be used effectively even alongside diverse transportation demands, which provides an important foundation for further developments in this area,” said Viktor Vig, Project Manager.

Data and practical experience gathered during operation – from consumption and route optimization to the use of charging infrastructure – also support the planning of future developments.

As part of the greening of the Coca-Cola HBC fleet, the company will replace all gas-powered forklifts with electric forklifts at its Dunaharaszti site in 2026, and since last year its passenger car fleet has consisted exclusively of electric and hybrid vehicles.

The company’s goal is to build on the experience gained and continuous developments in order to remain at the forefront of the adoption of low-emission logistics solutions in Hungary over the long term.

22.05.2026

Long-Term Goals and Purpose-Driven Initiatives at the BCSDH Social Capital Hub

News

What can a company do for people along its value chain? This was the opening question at the recent meeting of the BCSDH Social Capital Creative Hub, which was hosted by Lidl Hungary on May 13, 2026.

Guests were welcomed by Zita Szlavikovics, Managing Director of Lidl Hungary.

At the beginning of the meeting, presentations by Dorottya Takács, HR Director, and Szabina Seregi, CSR Manager, gave us insight into the diversity of Lidl’s social activities. The company implements numerous initiatives not only for its employees but also for external stakeholders, as they believe that “it is truly worth valuing human worth.”

Following the presentation, an exciting, inspiring, and open discussion began, covering the implementation of long-term sustainability goals, the measurement of these goals, as well as the role and significance of “purpose-driven initiatives.”

In the second part of the meeting, Dr. József Kolossa presented the results of last November’s Future Planning process, highlighting the values that connect the members of our community and form the basis of our shared thinking.

14.05.2026

Electrification slowing down, sales above the EU average: this was CEE automotive market in 2025

Member News

Despite the turbulent economic conditions, the automotive market in Central and Eastern Europe showed growth in 2025 that exceeded expectations and outpaced Western Europe. In the coming years, hybrid powertrains and Chinese brands are expected to gain further ground, as their goal is to establish a dominant global presence and demonstrate leadership in electrification technology, with Europe serving as a springboard – according to a report compiled by AutoWallis for the third time. As a leading integrated mobility service provider in the Central and Eastern European (CEE) region, AutoWallis is present in 17 countries with 30 brands, giving it a comprehensive view of the processes and trends in Hungary and neighboring countries, which they summarize in their regular CEE Automotive Report.

AutoWallis operates in Central and Eastern Europe, which is why their industry analysis focuses primarily on this region. The company is present in 17 countries (Austria, Albania, Bosnia and Herzegovina, Bulgaria, the Czech Republic, North Macedonia, Greece, Croatia, Kosovo, Poland, Hungary, Moldova, Montenegro, Romania, Serbia, Slovenia, and Slovakia) with wholesale and retail operations for vehicles and parts, as well as mobility services, representing 30 brands and boasting over three decades of automotive industry experience. AutoWallis’ growth strategy therefore focuses on this region, as it is in this environment with high growth potential that the group’s experts possess knowledge and value-creating capabilities that surpass those of its competitors.

The CEE Automotive Report 2025 provides a comprehensive overview of the state of the region’s automotive markets in 2025 and their growth potential for the coming period. In addition to a country-by-country breakdown, the report examines the market share of various powertrains (ICE, BEV, PHEV, HEV, etc.), analyzes the regional passenger car and light commercial vehicle fleets, and forecasts the expected trends in the automotive market for 2026. In compiling the report, in addition to the ACEA database, data from Datahouse, the European Commission, and the Hungarian Central Statistical Office (KSH) were used to conduct a detailed analysis of neighboring markets to create the most comprehensive regional overview possible.

The share of electric powertrains among new cars continued to grow

In terms of new passenger car registrations, countries in the CEE region saw a 7.7% increase, compared to the EU average of 1.8%. Within the region, Austria had the highest growth rate (12.3%), but the performance of the Slovenian (8.6%) and Polish (8.3%) markets was also notable. Slovakia was the only country in the region to record a decline (-0.3%). Of the 27 EU member states, 19 markets showed a positive trend compared to 2024, although the volume varies significantly by country.

At the same time, registrations of battery electric passenger cars (BEVs) increased by an average of 29.7% in Europe in 2025, with the European Union showing a 29.9% increase. Looking at the CEE region average, registrations of pure electric cars significantly exceed even the EU’s average growth rate (53.3%). Poland achieved the highest growth in electric vehicles in 2025, registering more than two and a half times as many such passenger cars (161.5%).

Battery electric vehicles (BEVs) remained the third most popular choice among buyers in the EU in 2025, behind hybrids and gasoline-powered cars. In the CEE region, hybrid-electric vehicles are also the most popular (37.8%), closely followed by gasoline-powered cars (33.7%). Unlike in the EU, fully electric cars are the fourth most popular (9.1%), trailing diesel vehicles (11%), according to an analysis by AutoWallis.

The Hungarian market offers a wealth of opportunities

The 4.2 million passenger cars on Hungarian roads represent the second-oldest fleet in the EU (16.5 years), and the number of cars per 1,000 inhabitants is the second lowest in the EU (445). Similar to passenger cars, the average age of light commercial vehicles (521,000 units) is also high (13.2 years), which highlights the lag in the business sector.

In 2025, the Hungarian passenger car market performed between the EU and regional averages: a 6.4% increase compared to the previous year translates to 129,000 newly registered cars. Lagging behind the EU’s 17.4% figure, the share of electric cars was 8.5%, nearly matching the CEE region’s average. Although electric car sales increased compared to the previous year (28.5%), the rate of growth remained below the EU average. Registrations of light commercial vehicles decreased by 4.5% (23,700 units), while registrations of purely electric vehicles within this segment increased by 60.1%.

2026 will be no less turbulent: ongoing (tariff) wars, unstable supply chains, government subsidies

The direct and indirect effects of escalating international conflicts, various protective tariffs and sanctions affecting major raw material-supplying countries, as well as the impact of major international routes (commercial shipping, air corridors) pose significant challenges on their own, but their combined presence makes economic planning more difficult globally, including in Europe.

The automotive industry remains heavily dependent on Chinese battery materials, Asian chip manufacturers, and global logistics routes. Geopolitical tensions (US-China, EU-China, Middle East) could disrupt production at any time. Soaring oil prices due to the war in Iran, as well as uncertain and increasingly expensive transportation (in terms of both cost and time), are expected to drive up costs for automakers (OEMs), which will manifest in even higher new car prices and general inflationary pressure. AutoWallis expects manufacturers to respond to these bottlenecks by focusing on higher-margin models, while in the longer term, they may accelerate the development of regionalized production and warehousing.

Growing market pressure and China’s continued expansion

While European manufacturers, who have fallen behind in both capacity and development and are under market pressure, China has been the world’s largest auto exporter since 2023. At the same time, Europe is one of the world’s most profitable car markets, with high purchasing power and strong demand for EVs. It is no wonder that Europe has become an extremely attractive and important target for Chinese OEMs, and a central element of China’s export strategy. Despite the EU launching an anti-subsidy investigation and imposing punitive tariffs on Chinese EVs, manufacturers have remained competitive, and exporting to Europe remains profitable even with the tariffs. Chinese manufacturers are particularly strong in the electric vehicle sector; according to the consensus among analysts, they have a competitive advantage of approximately 3–5 years in the field of electrification. At the same time, the segment of plug-in hybrids with extra-long range is gaining ground, as there are currently no additional tariffs on plug-in hybrid (PHEV) models, unlike on battery electric vehicles (BEVs) and extended-range electric vehicles (EREVs).

However, Europe is important to Chinese manufacturers not only because of its sales potential, but also as a valuable benchmark: if a model meets the EU’s notoriously strict safety and environmental standards, it lends strong credibility to the brand globally, including in their other export markets. Success in Europe is key to their global ambitions. Among the major Chinese brands, only a few are currently strong in Europe, but numerous other manufacturers are planning a vigorous market offensive over the next 12 months. We can therefore expect Chinese models to continue gaining ground in the European market, with the emergence of dedicated “budget EV” models – similar to the Japanese kei-car concept.

12.05.2026