China opposes EU Industrial Accelerator Act restrictions
China expressed concern Friday over the EU's proposed Industrial Accelerator Act. Beijing warned that new green technology investment curbs amount to protectionism.
The Ministry of Commerce in China has officially expressed grave concern regarding the European Union and its proposed Industrial Accelerator Act (IAA). The legislation introduces significant restrictions on foreign investment within sectors critical to the green transition, including the production of batteries by companies such as ALTECH BATTERIES LTD and the manufacturing of electric vehicles by entities like FDG ELECTRIC VEHICLES LTD.
Unveiled on Wednesday, the IAA establishes specific low-carbon criteria and \"Made in EU\" requirements for public procurement and industrial subsidies. These regulations are expected to impact the global supply chains of heavy industries, including those involving Daiki Aluminium Industry Co., Ltd., CEMENTOS MOLINS SA, and Steel Dynamics, Inc.. The act also targets technologies such as wind turbines, electrolysers, and solar photovoltaics, aiming to prioritize domestic production over foreign imports.
A spokesperson for the commerce ministry stated that Beijing is prepared to monitor the legislative process closely to evaluate the potential economic consequences for its domestic firms.
\"China will resolutely defend Chinese firms legitimate rights and interests.\"
The ministry further argued that the use of environmental and industrial development goals to justify new trade barriers constitutes a form of protectionism. Officials warned that these measures could undermine international trade regulations, hinder fair competition, and create significant disruptions in the stability of global supply chains.
