Please visit our new website at www.export.gov!

Aerospace Resource Guide: Hungary

 

Hungary Statistics

Summary
Market Entry

Current Market Trends

Current Demand

Main Competitors
Barriers

Trade Events/Associations

CS Contact

Capital: Canberra
Population:
24 Million
GDP USD
: USD 1.520 trillion
Currency:
Australian dollar (AUD)
Language
: English

Summary

The civil aviation sector in Hungary is growing. There are 15 civilian airports out of which two have international aviation rights. Most regional airports require both infrastructure and technical modernization and need to be equipped to respond to international standards of safety and security. Airport security is managed by the National Transportation Authority (NKH) in Hungary (www.nkh.hu). There is strong interest by airport operators to purchase security equipment in the near future, including body scanners and explosive detection systems.

Hungary enjoys a relatively strong international passenger base of users travelling mainly between Hungary and Germany, Austria, The Netherlands, U.K., Italy, the Scandinavian countries, Greece and Turkey. Roughly 70 percent of international passengers visit the country for tourism and recreation. In 2013, tourism in Hungary increased at 6.7 percent. Airports that are expected to experience significant traffic growth in the near future are Budapest Liszt Ferenc International Airport, Debrecen International Airport, Gyor-Per Airport, Heviz-Balaton Airport and Pecs-Pogany Airport. Regional airports in Hungary will be given a special role in the Hungarian transportation development programs, as these airports will receive EU funding in the new European Union financial period.

The number of passengers passing through Liszt Ferenc International Airport in Budapest reached 9.2 million in 2013. Low-cost airlines carried 52 percent of the airport’s passengers in 2013, up from 26 percent in 2012. A logistics center and a hotel is planned to be built near the airport.

Hungary does not have a national air carrier. MALEV went into bankrupt in February 2012. Most of the routes were taken over by low cost carriers that experience significant market penetration, including WizzAir, Ryanair, EasyJet and Germanwings. It is also anticipated that in the future major European routes will be predominantly served by these low cost carriers.

Hungary is member of the International Civil Aviation Organization (ICAO) since 1963, the European Organization for the Safety of Air Navigation (EUROCONTROL) since 1992, and European Aviation Safety Agency (EASA) since 2004.

Market Entry


Market entry to Hungary is relatively easy. Besides EU regulations, there are no country specific business barriers in place at the moment. For updated information it is recommended to verify any information with the Aviation Directorate of the National Transportation Authority (http://www.nkh.hu/en/aviation/Pages/default.aspx)

The Hungarian market is open to U.S. companies. However, local representation when working in Hungary is recommended. U.S. companies that have successfully entered the market do so by either establishing a local office or developing local representation agreements.

Current Market Trends


Hungary presents a number of promising opportunities for U.S. companies in the subsectors of security, safety, airport development, air traffic control and airspace management systems.

Current Demand


There are a number of requirements for procurement of security equipment. Further acquisition needs of body scanners, explosive detection systems, security management systems and cargo security will be internationally tendered, as Hungary needs to comply with EU regulations. Gyor-Per Airport is planning taxiways expansions, constructing a new landing system and build new hangar and foyer.

Competitors


European companies remain the strongest competitors in the Hungarian market. Historical ties with Germany, Austria, geographical proximity and knowledge of EU regulations provide some advantages to European competitors. However, there is strong interest in working with U.S. firms.

Barriers


There is one main barrier encountered on the Hungarian market: airlines must have the capacity to fulfill European requirements and their certification in the European market, EASA. The reliable and recommended solution in such cases is to create a partnership with a local company.

Trade Events/Associations

Kecskemét Air Show

Dates TBD | Kecskemét Air Base
www.airshowinfo.hu


U.S. Commercial Service Contact Information:


Ms. Csilla Viragos
Commercial Specialist
Csilla.Viragos@trade.gov
+36 1 475 4250


  Notice to Visitors!


  The link you have chosen will take you to a non-U.S. Government website.

  If the page does not appear in 5 seconds, please click this: outside web site

  Export.gov is managed by the International Trade Administration and external links are covered by its website  disclaimer statement.


  Notice to Visitors!


  The link you have chosen will take you to a non-U.S. Government website.

  If the page does not appear in 5 seconds, please click this: outside web site

  BuyUSA.gov is managed by the International Trade Administration and external links are covered by its website disclaimer statement.