BEIJING, April 10 (Reuters) - China said it was
concerned by what it called discriminatory measures by the
European Union against its firms after the bloc said it would
investigate subsidies received by Chinese suppliers of wind
turbines destined for its countries.
"The outside world is worried about the rising tendency of
protectionism in the EU," foreign ministry spokesperson Mao Ning
said at a regular press briefing on Wednesday.
"China is highly concerned about the discriminatory measures
taken by the European Union against Chinese companies and even
industries," Mao said, adding that the bloc should abide by
World Trade Organization rules and market principles.
The investigation, announced on Tuesday, represents the
latest move in a push by Europe and the United States to protect
their firms from what they view as unfair competition from
state-subsidised clean technology imports from China.
In a visit to China this week, U.S. Treasury Secretary Janet
Yellen said Washington would not accept its industry being
"decimated" by China's overcapacity in key products such as
electric vehicles, batteries and solar panels.
The European Commission will look into conditions for the
development of wind parks in Spain, Greece, France, Romania and
Bulgaria, the EU's anti-trust commissioner Margrethe Vestager
has said.
While local players like Siemens Energy and Vestas still
supply most of wind turbines on Europe's wind farms, they face
intense competition from lower cost Chinese products,
threatening their position in a global race to develop more
efficient, and cheaper, turbines.
China has by far the world's largest wind turbine production
capacity, accounting for 60% of the 163 gigawatts (GW) globally
in 2023, according to Brussels-based industry association Global
Wind Energy Council.
Wind energy projects received subsidies from the central
government between 2009 and 2021, and still receive local
government support and state bank financing.
Prices for Chinese turbines are around 20% below rival U.S.
and European products, says research service BloombergNEF.
The EU imported some $1.42 billion in turbines and
components from China last year, customs data showed.
While subsidies could stimulate innovation, they also have
the potential to distort markets, Jens Eskelund, president of
the European Chamber of Commerce in China, told Reuters.
"Free and open markets rely on rules-based trade practices.
The European Chamber expects to see a fact based probe with a
view to ensure such principles for all market participants,"
Eskelund said.