The European Union intensified its scrutiny of Chinese clean-tech investments, raising concerns about the potential displacement of local suppliers as part of EU initiatives to transition towards a green economy.
Margrethe Vestager, the EU’s competition chief, revealed an initial investigation into Chinese participation in wind parks across Spain, Greece, France, Romania, and Bulgaria during a speech in the US.
Although this move by the EU is in its early stages, it holds the authority to impose fines, halt tender processes, or prevent state acquisitions of companies if evidence emerges of unfair subsidies provided by the Chinese government.
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“China is for us simultaneously a partner, an economic competitor, and a systemic rival,” Vestager told Bloomberg Green. “And the last two dimensions are increasingly converging.”
As part of its green initiatives, the EU aims to reduce reliance on imported clean technologies and enhance resilience.
Faced with competition from China, particularly in solar panel manufacturing, the 27-nation bloc is committed to strengthening its wind energy sector and monitoring potential unfair trade practices favoring foreign manufacturers.
Wind energy is pivotal in the EU’s pursuit of eliminating greenhouse gas emissions by mid-century.
With a binding target to reduce emissions by at least 55% by 2030 compared to 1990 levels, the bloc has initiated discussions on establishing an intermediate goal to slash pollution by 90% by 2040.