The Importance of the New Silk Road in the Hungarian Automotive Supply Chain

Abstract

The connection between Europe and Asia has always been important for the flow of materials and intellectual goods. Hungary is in an important position in Central Europe to connect different key ports and logistics hubs. Therefore, this article aims to analyse the opportunities and impacts of the New Silk Road initiative on the supply chain and transportation network in Hungary. This result showed that the existence of the New Silk Road gives huge opportunities for different supply-chain-related activities and initiatives, especially for the Hungarian automotive industry. Specifically, the New Silk Road has the potential to enable the advantages and positive impact of rail transport activities in Hungarian automotive supply chains by providing a long-term competitive solution as an alternative to maritime transport while mitigating several related risks and increasing the domestic supply chain’s resilience. Consequentially, the New Silk Road initiative may affect the supply chains and transportation route networks of several European and Asian nations, including Hungary.