EU losing China tech-race, as Beijing prepares to host German CEOs

She announced a new investigation into potential Chinese state aid to secure wind-turbine contracts in Bulgaria, France, Greece, Romania, and Spain.

She highlighted wind turbines as just one aspect of China’s strategy to push European companies out of crucial industrial sectors, stating that less than three percent of solar panels in the EU are currently produced in Europe.

Vestager emphasized the need to address these challenges to protect economic security and competitiveness in Europe.

She described China as a partner, an economic competitor, and a systemic rival, with the latter two roles becoming increasingly intertwined.

Vestager drew parallels between the current global race for dominance in clean technology, AI, and internet regulation with the Cold War-era nuclear arms race.

She warned about the potential threats posed by US tech giants and foreign adversaries in the era of digital technologies, emphasizing the importance of controlling critical technologies and supply chains.

Vestager also addressed concerns about disinformation campaigns and foreign interference in elections through social media platforms.

She highlighted upcoming elections in the US and the EU, noting the history of interference by countries like Russia.

Additionally, Vestager pointed out the increasing industrial ties between Germany and China, raising concerns about the impact on EU efforts to reduce reliance on Chinese manufacturing.

Despite China’s dominance in clean-tech manufacturing, especially in critical components for electric car batteries, solar panels, and wind turbines, Vestager expressed the need for a unified European approach to address these challenges.

She noted the strong economic ties between German firms and China, with German companies playing a significant role in the Chinese market.