The European Union is aiming to boost its own production and supply chains by favoring domestic manufacturers in the electric vehicle (EV) battery and hydrogen projects. The European Commission is set to provide €1 billion in subsidies to projects that source fewer components from China and require a transfer of know-how to EU member states. This move aligns with the EU's broader political priority to keep manufacturing within Europe as part of its economic overhaul to reduce greenhouse gases by 2050. The commission's executive vice president highlighted the inclusion of new resilience criteria to boost European industry, particularly in the battery and hydrogen sectors. In the hydrogen project auction worth €1.2 billion, winning projects will need to limit the sourcing of electrolyzer stacks from China to no more than 25% of the total capacity. Additionally, a €2.4 billion call for net-zero technologies focuses on assessing projects' ability to reduce dependencies on critical raw materials or components from countries like China. These initiatives aim to protect Europe against overreliance on a single supplier and enhance domestic production capabilities in the clean energy sector.