In an interview with the Politico magazine, Mr Orban suggested that the Paris attacks have laid bare the flaws in the EU dream.
"Liberalism in Europe now concentrates not on freedom but on political correctness. It became a sclerotic ideology. Dogmatic, may I say."
He says that currently, many states feel like they are being sidelined and undermined by the more influential European powers like Germany and the UK.
"[They say] you are not a democrat, you are not a good man, you belong to the bad guys.' "
He also claimed that previous attempts at explaining misgivings over Europe's handling of major issues like the migrant crisis, have been met with "very arrogant and aggressive" Western European "mainstream" views.
Orbán: The growing gap between EU leaders and the sanity of European people is destabilizing Europe pic.twitter.com/hjiAJCUztD— Mariann Őry (@otmarianna) November 20, 2015
"We are morally labeled as xenophobic," Mr Orban said.
He warned that this unwillingness to be more pluralistic is now causing divisions within communities.
The recent terrorist attacks in Paris, in which 130 people died and many more were injured, have increased the fear and paranoia among European leaders and their public.
PM Orban says it's time to ask basic questions about EU and we need to speak about EU founding treaties, too.— Krisztina Bolczek (@Kriszti_Bolczek) November 20, 2015
Some have suggested that the current open borders system, which allows unfettered travel across 26 European countries, is not fit for purpose and is being abused by people-smugglers and criminals.
"Of course it's not accepted, but the factual point is that all the terrorists are basically migrants. The question is when they migrated to the European Union," says Orban.
His views are highly contentious and have been dismissed as knee-jerk reactions to the Paris terror attacks. However, it is true that many of the suspects of the atrocity on November 13 were able to enter and move freely around Europe without detection form the security services.
With terror alerts still high across Europe, it's unclear what will become of the EU.
However, with voices like Mr Orban continuing to dominate the headlines, key European principles like freedom of movement and trade could be facing significant changes.