Hungary Accelerates in Green Energy Amid Europe’s Sluggish EV Demand

Hungary is emerging as a significant contender in the green energy sector, particularly in battery production and solar energy. This growth comes despite a broader slowdown in electric vehicle (EV) demand across Europe. As nations in the EU strive to enhance their renewable energy portfolios, Hungary’s advancements could play a pivotal role in the region’s transition to sustainable energy.

Job Market and Sector Leaders

According to Bruegel’s latest report, wind and solar energy represent approximately half of all employment in the EU’s green sector, with **236,600** jobs in wind and **273,500** in solar energy. Germany leads the bloc with over **310,000** green jobs, predominantly in wind (124,600) and solar (85,400). France ranks second with nearly **86,000** positions across various green technologies, while Spain follows closely with **67,200** jobs, mainly in solar energy.

Renewable energy now constitutes about a quarter of the EU’s total energy consumption, accounting for **24.5%** according to Eurostat. This sector supports nearly **950,000** jobs across the continent. Despite these growth figures, EV manufacturing in Europe remains the most lucrative segment of the green energy market, with exports generating over **€38 billion** in 2024.

Renewable Energy Production and Future Projections

The Bruegel report highlights that wind energy has been the fastest-growing source of energy in the EU since the beginning of the century, with an increase of **451 TWh**. In contrast, coal has seen a significant decline, dropping by **481 TWh**, followed closely by nuclear energy, which has decreased by **240 TWh**. Germany leads in EV production capacity with over **2 million** units and is projected to exceed **2.7 million** soon. France follows with **400,000**, though Spain is set to overtake it with ambitious plans to reach over **1 million**.

Hungary is currently at the forefront of battery production, boasting an operational capacity of **87.5 GW**, edging out Poland at **86.5 GW**. Germany is expected to surpass Poland, projecting nearly **180 GW** soon. Hungary’s capacity is anticipated to rise to nearly **190 GW**, driven by substantial investments from Chinese companies.

On the solar front, Hungary stands out with the highest share of energy generated from photovoltaic panels among all EU states, reaching **24.6%**. In less than a decade, Hungary has increased its solar energy capacity by an astonishing **65-fold**, growing from **89 MW** to **5.8 GW**, as reported by the International Renewable Energy Agency (IRENA).

In total, European nations collectively produce approximately **1.47 million GWh** of renewable energy, comparable to the combined output of Canada, Greenland, the United States, and Mexico. Germany remains the largest producer in Europe with **251,000 GWh**, followed by Norway (**143,461 GWh**), the UK (**135,159 GWh**), Spain (**122,960 GWh**), and Sweden (**118,227 GWh**).

As Hungary continues to scale its green energy initiatives, the long-term sustainability of its growth remains to be seen, especially in the context of fluctuating EV demand across Europe. The country’s investments in renewable energy may well define its role in the continent’s future energy landscape.