EU Takes a Stand Against China's Subsidy Blitz"

The European Commission President, Ursula von der Leyen, has stated that the European Union (EU) must take action against the "massive" subsidies given by China to its industries, which pose a threat to the competitiveness of the EU. Von der Leyen made this statement after the EU leaders discussed how to respond to the $369 billion climate bill introduced by US President Joe Biden, which aims to attract green businesses.

The EU leaders have expressed concern that Biden's bill, which includes subsidies and tax breaks for green technologies, will attract businesses away from Europe. As a result, they have agreed to simplify and speed up state aid procedures, including tax credits, and to use EU funds for green technology and climate-friendly investments.

Von der Leyen pointed out that the situation with China is far more complex and opaque, with "hidden subsidies" given to a wider range of sectors. European companies have faced difficulties in accessing the Chinese market and have complained about the lack of respect for intellectual property rights. The EU has long expressed its concern over China's green industries, including photovoltaic solar panel manufacturing, receiving state support.

French President Emmanuel Macron called for the EU to "react with great force" against the Biden bill and for European state aid to support strategic sectors. German Chancellor Olaf Scholz stated that the EU has longstanding policies in place to counter Chinese subsidies and has "some ways to react." Dutch Prime Minister Mark Rutte emphasized the need to cut red tape to get money to businesses quickly and with minimal hassle.

In conclusion, the EU is taking a stand against China's massive subsidies, which pose a threat to the competitiveness of European industries. The EU leaders have agreed to simplify and speed up state aid procedures, including tax credits, and to use EU funds for green technology and climate-friendly investments.