Journal Article
EU Concerns about Chinese Subsidies: What the Evidence Suggests
Autoren
Erscheinungsdatum
DOI
10.2478/ie-2024-0044
JEL Classification
Schlagworte
Internationaler Handel
Globalisierung
Direktinvestitionen
Europäische Union & Euro
Unternehmen
China
China uses subsidies extensively to take a leading role on the global markets of green-tech products such as battery electric vehicles and wind turbines. Against the background of the current EU investigations into Chinese subsidies in these sectors this article takes a careful look into the Chinese subsidy system and provides new data on direct government subsidies to leading Chinese producers of electric cars and wind turbines. Extensive government sup-port has allowed Chinese companies to scale up rapidly, to dominate the Chinese market and to expand into foreign markets. The article concludes that the EU should use its strong bar-gaining power due to the single market to induce the Chinese government to abandon the most harmful subsidies.
