EU investigating Chinese wind-turbine companies in Germany for state subsidies

Development coincides with Beijing launching its first retaliatory moves against bloc’s foreign-subsidies regulation amid bilateral tensions

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A worker walks past wind turbines at a Ming Yang electric factory in Zhongshan, China. Photo: Reuters

Published: 1:30am, 11 Jul 2024Updated: 2:16am, 11 Jul 2024

Chinese wind-turbine companies in Germany are being investigated for state subsidies after EU authorities expanded an existing investigation to include Europe’s biggest economy.

It comes under the European Commission’s foreign-subsidies regulation – a competition tool designed to ferret out state handouts on the books of foreign companies operating within the EU’s single market.

Brussels launched a preliminary inquiry in April into what it called “market-distorting” subsidies received by unnamed Chinese wind-turbine operators in Spain, Greece, France, Romania and Bulgaria.

Subsequently, wind developers and turbine manufacturers came forward with new information, tipping the commission off to “potential distortions in the development of wind projects in other member states, including in Germany”, a spokeswoman said.

Wind turbines at sunrise in the city of Erfurt in central Germany last week. Photo: dpa

“We have sent requests for information to further assess this information and the existence of potential foreign subsidies distorting the internal market,” said Lea Zuber, the commission’s competition spokeswoman.