EU Court Rules Against Hungary's Export Controls on Construction Materials

The EU Court of Justice dismissed Hungary's export controls on construction materials as violating EU regulations. The European Commission argued these controls infringed upon the free movement of goods within the EU. Hungary claimed the measures were for infrastructure security, but failed to prove a substantial threat.

The European Union's Court of Justice has condemned Hungary's export controls on raw and construction materials, declaring them in violation of EU regulations. This ruling comes following a lawsuit by the European Commission, which found Hungary's requirement for state notification on material exports a breach of EU's free movement of goods principle.

Asserting their stance, the Commission criticized Hungary's policies as an infringement on the EU's commercial policy domain, intended to preserve the bloc's competences. Hungary justified its actions by aiming to protect critical infrastructure through securing supply chains but failed to convince the court of a genuine security threat.

The court's decision underscored that Hungary's measures explicitly sought to curtail construction material exports, conflicting with EU laws. Hungary's arguments about raw material scarcity were rejected as insufficient to justify their draconian approach, marking a significant win for the European Commission.

(With inputs from agencies.)