European Union Tightens Rules to Support Local Hydrogen Industry Against Chinese Competition
Key Ideas
  • The European Union is implementing stricter rules to ensure EU funding for hydrogen projects benefits European companies and protects them against cheap Chinese imports.
  • Climate Commissioner Hoekstra is working on specific criteria to promote European electrolyser supply chains and ensure European cybersecurity and safety.
  • The EU is not looking to sever ties with China but will take action against unfair competition, emphasizing the importance of supporting local industries in the hydrogen sector.
  • Despite the EU awarding funds to EU hydrogen projects, concerns have been raised over the use of cheaper Chinese equipment, with efforts to prioritize European equipment in future funding schemes.
The European Commission, under the leadership of Climate Commissioner Wopke Hoekstra, is taking proactive measures to protect and support the European hydrogen industry. The EU is responding to industry concerns regarding the influx of inexpensive Chinese imports by tightening rules to ensure EU funds for hydrogen projects primarily benefit European companies. Hoekstra is spearheading efforts to establish specific criteria that favor European electrolyser supply chains and guarantee the cybersecurity and safety of European companies. While the EU aims to maintain relations with China, actions will be taken against any perceived unfair competition. Recent revelations suggest that some EU-funded hydrogen projects may be utilizing cheaper Chinese equipment, prompting calls for stricter criteria in future funding rounds to promote the use of European-made equipment. The EU's commitment to fostering a competitive and secure hydrogen industry within Europe is evident in these evolving regulations and criteria.
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