In a significant escalation of trade tensions between two of the world's largest economic blocs, China has firmly rejected the European Union's (EU) recent designation of China as a "high-risk country." The dispute centers on the EU's decision to restrict funding support for energy projects that utilize Chinese inverters—critical devices that convert solar panels' direct current output into alternating current for use in homes and industrial facilities.
The Ministry of Commerce of the Chinese mainland issued a sharp response on Thursday, characterizing the move as "groundless" and an act of "stigmatization." According to a ministry spokesperson, the EU has introduced these restrictions without providing concrete evidence, subjecting Chinese products to unfair and discriminatory treatment.
The implications of this policy extend beyond a simple trade dispute. The Chinese mainland warned that labeling it a "high-risk country" could severely undermine mutual trust between China and Europe, potentially disrupting bilateral economic cooperation and threatening the stability of global industrial and supply chains. In the long term, officials cautioned that such measures risk a forced decoupling of critical infrastructure.
Furthermore, the ministry emphasized that excluding Chinese products violates basic market principles and fair competition. The spokesperson noted that these actions may backfire on the EU itself, as limiting access to efficient Chinese solar technology could inadvertently hinder the bloc's own green transition and compromise its energy security goals.
China has urged the EU to immediately cease these stigmatizing practices and withdraw the discriminatory measures. The Ministry of Commerce stated it will closely monitor the impact of these policies on the legitimate rights of Chinese enterprises and will take necessary actions to protect its lawful interests.
Reference(s):
China slams EU's discriminatory restrictions on Chinese inverters
cgtn.com




