Historic Nuclear Pact Signed in Budapest
Budapest, Hungary – The United States and Hungary today, Monday, February 16, 2026, formalized a civilian nuclear cooperation agreement, marking a significant step in bilateral relations. US Secretary of State Marco Rubio met with Hungarian Prime Minister Viktor Orbán in Budapest to sign the pact, which is set to foster decades of collaboration in nuclear energy.
The agreement follows a Memorandum of Understanding on Nuclear Energy signed in November 2025, initiating negotiations on cooperation across the civil nuclear industry. This new deal is expected to strengthen Hungary's energy security and support its capacity to provide competitively priced energy.
Key Provisions of the Agreement
The newly signed agreement outlines several crucial areas of cooperation. It underscores the US commitment 'to making Hungary a hub for regional small modular reactor (SMR) development' and encourages Hungary to adopt US SMR technology. For the first time, Hungary will procure nuclear fuel from American suppliers. Additionally, the US firm Holtec International is slated to assist Hungary with the management of its spent nuclear fuel storage.
According to the US State Department, this initiative is part of broader efforts to advance 'mutual security interests in the region' and delivers on President Donald Trump's Executive Order 14299, focused on 'Deploying Advanced Nuclear Reactor Technologies for National Security.' The agreement is projected to generate over $15 billion in business opportunities for US vendors and create thousands of jobs for American workers.
Political Context and Implications
The signing of this agreement comes at a politically sensitive time for Hungary, just two months before its parliamentary elections on April 12, where Prime Minister Orbán faces a challenging re-election bid. Secretary Rubio's visit and the pact are widely seen as a political endorsement for Orbán. President Trump has previously expressed strong support for Orbán, describing him as 'a true friend, fighter, and WINNER' on Truth Social.
Historically, Hungary's nuclear sector has been closely linked to Russia. This agreement offers Hungary an opportunity to diversify its nuclear supply chain, providing new options beyond its traditional ties. Prime Minister Orbán lauded the relationship, declaring that 'a new golden age has set upon us concerning the relationship between the United States and Hungary.' Secretary Rubio also acknowledged the 'very, very close personal relationship and working relationship' between President Trump and Prime Minister Orbán, stating it has been 'beneficial to our two countries.'
Secretary Rubio's Role
Marco Rubio assumed the role of US Secretary of State on January 21, 2025, following a unanimous 99-0 confirmation vote in the U.S. Senate. His visit to Budapest also included discussions on a sanctions-related exemption granted to Hungary by the US administration, further bolstering Hungary's energy security. During his visit, Orbán reiterated Hungary's standing offer to host a peace summit between Ukraine and Russia, aligning with President Trump's efforts to broker a peace deal.
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