- Economy ministry says the sector needs a level playing field
- Officials urge scrutiny of projects with Chinese producers
Germany is taking measures to protect the domestic and wider European wind industry as fears of being squeezed out by Chinese competition grow.
The economy ministry set out an action plan to ensure a level playing field in the sector, improve cyber security and reduce dependencies for critical components. The announcement came after policymakers met with representatives of European wind turbine manufacturers, and emphasized the need to particularly scrutinize Chinese manufacturers involved in European projects.
“We have a strong wind industry in Germany and Europe,” Economy Minister Robert Habeck said. “We must continue to improve the framework conditions so that this industry remains competitive and the conditions for future value creation in Germany and Europe are in place.”
Earlier this year, a German offshore wind developer picked a Chinese manufacturer to supply turbines needed for a project in the North Sea, prompting scrutiny from the German government and backlash from European Union industry representatives.
The region has already seen its solar industry damaged by competition from cheap Chinese panels, and has grown more sensitive to third-country influence on sectors seen as strategic after Russia’s war on Ukraine curtailed gas flows to the continent.
The economy ministry said it will provide large-volume guarantees via its state-owned bank KfW for wind turbine manufacturers. It also urged KfW, the European Bank for Reconstruction and Development and the European Investment Bank to review the financing of Chinese companies that “run counter to national or European industrial policy interests” and “are fundamentally suspected of distorting competition.”
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