On October 6, 1949, China established diplomatic relations with Hungary. In May 2017, a Comprehensive Strategic Partnership was established. In May 2024, the two sides established an All-Weather Comprehensive Strategic Partnership for the New Era. In recent years, the bilateral relations have maintained a good momentum of development, with frequent exchange visits between the leaders of the two countries and deepening political mutual trust.
In February 2023, Wang Yi, Member of the Political Bureau of the CPC Central Committee and Director of the Office of the Central Commission for Foreign Affairs, visited Hungary. In May, Director Wang Yi met with Hungarian Foreign Minister Szijjarto, who was in China for the 3rd China-CEEC Expo. In August, Matrai, deputy speaker of the Hungarian National Assembly, visited China. Zhao Leji, chairman of the Standing Committee of the National People's Congress, met with her, and Li Hongzhong, vice chairman of the NPC Standing Committee, held talks with her. In September, Director Wang Yi had a phone call with Hungarian Foreign Minister Szijjarto. In October, President Xi Jinping met with Hungarian Prime Minister Orban, who was in China to attend the 3rd Belt and Road Forum for International Cooperation under an official visit, and Premier Li Qiang held talks with his Hungarian counterpart.
In February 2024, State Councilor and Minister of Public Security Wang Xiaohong visited Hungary. In March, Vice Chairman of the Standing Committee of the NPC Xiao Jie visited Hungary. In April, Wang Yi, Member of the Political Bureau of the CPC Central Committee and Foreign Minister, met with Hungarian Foreign Minister Szijjarto, who was in China to hold the 20th meeting of the China-Hungary Economic Joint Committee. In May, President Xi Jinping paid a state visit to Hungary, during which he held talks with Hungarian President Sulyok and Prime Minister Orban. In June, Foreign Minister Wang Yi had a phone call with Hungarian Foreign Minister Szijjarto. In July, President Xi Jinping met with Hungarian Prime Minister Orban in Beijing. In the same month, Foreign Minister Wang Yi had another phone call with Hungarian Foreign Minister Szijjarto. In September, Foreign Minister Wang Yi met with Hungarian Foreign Minister Szijjarto during the UN General Assembly in New York. In the same month, Li Hongzhong, Vice Chairman of the Standing Committee of the NPC, met with Olah, deputy speaker of Hungarian National Assembly. In November, Zhao Leji, chairman of the Standing Committee of the NPC, held talks with the speaker of the Hungarian National Assembly Kover in Beijing, and Wang Huning, chairman of the Chinese People's Political Consultative Conference National Committee, also met with him.
China is Hungary's largest trading partner outside Europe, and Hungary is one of China’s most important trading partners in Central and Eastern Europe. The bilateral trade volume in 2024 reached US$16.2 billion, with a year-on-year increase of 11.6%. The two countries established the Joint Economic Committee in 1984 and since then have held 20 sessions. The most recent one was held in Beijing in April 2024, co-chaired by Chinese Minister of Commerce Wang Wentao and Hungarian Minister of Foreign Affairs and Trade Szijjarto.
In September 2013, the People's Bank of China and the Central Bank of Hungary signed a bilateral currency swap agreement, with a swap scale of 10 billion RMB(equivalent to 375 billion HUF). This is the first bilateral currency swap agreement signed between China and a Central and Eastern European country. In December 2014, Li Zaohang, Vice President of Bank of China, visited Hungary and attended the opening ceremony of Bank of China Hungarian Branch. In June 2015, the People's Bank of China signed an agreement with the Central Bank of Hungary to expand the Renminbi Qualified Foreign Institutional Investor (RQFII) pilot area to Hungary with an investment quota of RMB 50 billion, and authorized Bank of China Hungarian Branch as the first ever RMB clearing bank in Central and Eastern Europe. In April 2016, Hungary became the first CEE country to issue 1 billion RMB bonds (Panda Bonds). In December 2018, Hungary issued another 2 billion RMB Panda Bonds. In December 2021, Hungary became the first in the world to successfully issue a green Panda Bond of 1 billion RMB. In November 2022, Hungary issued an additional 2 billion RMB green Panda Bonds.
China and Hungary have deepened cooperation in the fields of agriculture, education, culture and tourism as well as at local governmental level. In 2013, the Hungarian Cultural Center was established in Beijing. In June 2020, the Chinese Cultural Center in Budapest was registered, and officially entered into full operation in May 2024.
In September 2004, the Budapest Chinese-Hungarian Bilingual School was established, making itself the first full-time public school in Europe using both the local language and Chinese for teaching. At present, there are 6 Confucius Institutes in Hungary, and 12 universities in China offer Hungarian language programs.
Major Chinese airline companies, such as Air China, China Eastern Airlines, China Southern Airlines, China Hainan Airlines, have opened direct flights between Beijing, Shanghai, Xi'an, Chengdu, Chongqing, Ningbo, Guangzhou, Shenzhen and Budapest. In 2016, the Chinese Tourism Office in Budapest was officially opened as the first Chinese tourism office in the Central and Eastern Europe. In January 2023, Hungary was among the first trial countries to resume outbound group travel for Chinese citizens. In March 2024, China implemented a unilateral visa-free policy for Hungarian citizens.
Local exchanges between the two countries have continued to expand, and the both sides have so far formed 44 pairs of sister provinces, states and sister cities.