China urges EU to scrap market barriers, encourage fair competition

China urges the European Union (EU) to refrain from weaponizing tariffs, eliminate market barriers and promote fair competition, a spokesman for the Chinese Ministry of Commerce said on Thursday.

Ministry spokesman He Yadong was speaking at a regular press briefing in response to a question regarding German auto giant Volkswagen's recent announcement that it would launch a brand new low-cost electric vehicle (EV) model.

The spokesman noted that the move meets market demand and the expectations of EU consumers, who seek a wider variety of products with more advanced performance at more affordable prices.

China's flourishing EV sector has driven the electrification and intelligent shift of the auto industry, he noted, adding that European automakers are fully capable of adapting to market competition and taking part in the ongoing transformation of the industry.

"The strong price-to-performance ratio driven by technological innovation and full industrial-chain cooperation is the underlying logic powering the growth of the EV industry. It is also the fundamental reason why Chinese EVs are so popular with consumers and a driving force behind global efforts, including those in the EU, to tackle climate change," said He.

The spokesman warned that protectionism "leads nowhere" and could undermine the green ambitions of both sides, and also called into question the EU's groundless accusations over Chinese EV makers which threaten fair market competition.

"Simply because Chinese EVs offer such a strong price-to-performance ratio, the EU has baselessly labeled them as 'subsidized', and abused countervailing measures on the grounds of so-called 'threat of injury'. In essence, this sets up market barriers and interferes with free competition," he said.

"We welcome European products into the Chinese market and are eager to promote cooperation in the electric vehicle sector. China hopes that the European side will refrain from weaponizing tariffs, eliminate market barriers, encourage fair competition, follow the trend toward industrial cooperation and work with China to foster a fair, non-discriminatory and predictable market environment for EV development, thereby supporting global climate action and the green transition," the spokesman added.

China urges EU to scrap market barriers, encourage fair competition

A growing number of Chinese energy companies are increasing their presence in the Persian Gulf as they get deeply involved in the region's energy transition.

As a highlight of China-Gulf cooperation, green energy projects carried out by Chinese companies in Gulf states gained spotlight at the 18th World Future Energy Summit, which took place from Wednesday to Thursday in Abu Dhabi, the United Arab Emirates (UAE).

A shining example is the Mohammed bin Rashid Al Maktoum Solar Park in Dubai. As one of the largest single-site solar parks in the world, the solar thermal plant is a key project to help Dubai achieve its carbon reduction goals and significantly increase the share of clean energy in the city's power mix.

"Upon completion in 2030, it will exceed 8,000 megawatts, and it will reduce 8.5 million tons of carbon emmissions on an annual basis. And it will raise Dubai's clean energy capacity up to 36 percent," said Ali Hayat, a senior engineer of the project.

In recent years, more and more Chinese energy product suppliers have transitioned to a new role as investors by building plants and regional offices in the Gulf region to deepen their participation in local energy transition.

"China has been absurdly in the lead in both ways -- in providing technologies that make the cost of solar panel to be affordable around the world, and also in an amazing increase of the share of renewable energy in the energy system," said Francesco La Camera, director-general of the International Renewable Energy Agency.

Chinese companies seek greater role in Gulf states' energy transition