EU Set to Reduce Green Technology Dependence on China
- March 16, 2023
- Posted by: Quatro Strategies
- Category: Legislation
The European Union is planning to introduce restrictions on the import of green technology products from China, reducing the chances of Chinese companies winning public contract and creating additional barriers for buyers seeking subsidies. The plan is to downgrade public procurement bids from countries, whose products have more than 65% EU market share, a draft of the bloc’s Net Zero Industry Act suggests. The European Commission’s trade directorate is, however, concerned that the proposed revisions to the public procurement rule book may violate international law.
The European Union has been looking for new ways to monitor how European companies invest in production facilities overseas, in a bid to limit China’s access to new technologies from the West.
The European Union Commission President von der Leyen said the EU will set a target to produce 40% of its clean technology demand domestically by 2030.
Speaking at the plenary session of the European Parliament, von der Leyen said that the commission will present this week two legal drafts, the Net-Zero Industry Act and the Critical Raw Materials Act to support the modernization and independence of the European industry.
“With the Net-Zero Industry Act, we are setting the ambition. By 2030, we want to be able to produce at least 40% of the clean tech needed,” she said, referring to the process that reduces negative environmental impacts through energy efficiency improvements and the sustainable use of resources.
She stressed that “the race is on” in the global clean tech industry that reached over $1 trillion turnover last year and is expected to triple its market by 2030.
The new EU proposal will grant “speed, simplification, plus funding” for the EU’s clean tech, von der Leyen asserted.
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