EU Invests $5 Billion in Cleantech Projects to Reduce Reliance on China
Key Ideas
- The European Union is offering €4.6 billion in grants for cleantech projects to reduce reliance on China in sectors like electric vehicle batteries and hydrogen.
- Special measures will be applied to limit sourcing from China in the battery sector, with grants available for projects that reduce dependency.
- An additional €1.2 billion is allocated for green hydrogen production in Europe, with restrictions on sourcing electrolysis stacks from China to enhance supply resilience.
- This move marks a shift in EU policy to address dependency risks on Chinese imports and ensure compliance with trade regulations while promoting cleantech innovation.
The European Union has announced a substantial investment of €4.6 billion in grants for cleantech projects as part of its strategy to decrease reliance on Chinese imports. The focus sectors include electric vehicle batteries and hydrogen production. In the battery sector, projects that reduce sourcing from China will receive higher scores in the bidding process, highlighting the EU's aim to mitigate dependency risks. Similar restrictions apply to green hydrogen projects, with a maximum of 25% of electrolysis stacks permitted to be sourced from China. This shift in policy aims to enhance the EU's security of supply by reducing exposure to Chinese suppliers. The EU's emphasis on reducing reliance on China in cleantech industries reflects a positive sentiment towards domestic innovation and supply chain resilience. By offering grants and implementing sourcing limitations, the EU seeks to foster a more competitive and secure cleantech sector within its borders, complying with trade regulations while promoting economic autonomy.
Topics
Europe
Electric Vehicles
Batteries
Cleantech
Security Of Supply
Economic Ties
Grants
Trade Regulations
Dependency
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