EU challenges Chinese influence with new tech transfer rules

The British newspaper highlights that this requirement will initially target investors applying for grants for battery manufacturers. However, EU sources indicate this system could extend to other sectors over time.

The "FT" emphasizes that this strategy resembles Beijing's approach, which mandates that foreign companies share their intellectual property to gain market access in China.

The newspaper notes that these requirements will complement various other measures Brussels has already implemented to bolster the EU's green technology sector.

In October, the EU imposed new tariffs on Chinese-made electric cars. Earlier, in September, stricter criteria were set for green hydrogen producers applying for EU subsidies. These criteria dictate that the electrolyzers they use to produce fuel must consist of no more than 25% Chinese components.

The "FT" reports that this strategy is beginning to show results. Chinese company CATL, the world's largest electric vehicle battery manufacturer, is establishing its first factories in the EU, with locations in Hungary and Germany. A Shanghai-based wind turbine manufacturer has also announced plans to invest in Spain and France. However, many European green technology companies face financial difficulties. For instance, the Swedish battery manufacturer Northvolt announced in October that its subsidiary, Northvolt Ett Expansion AB, has filed for bankruptcy.

According to the "FT," if President-elect Donald Trump implements his plan to impose 60% tariffs on Chinese imports, China is likely to redirect some exports originally meant for the U.S. to the EU. The newspaper suggests that this situation may lead the EU to expand the tools necessary for protecting its industry from Chinese competition.