Concerns increases over Chinese influence in Europe's wind energy market
Date
8/14/2024 5:33:31 AM
(MENAFN) In northern Serbia, the construction of one of Europe's largest wind farms highlights the region's commitment to clean energy. However, the decision to source turbines from the Chinese company Zhejiang Wende for Italy’s Vintel Energia's Maestral Ring wind farm has sparked concerns among local competitors. These concerns stem from fears that the situation may mirror the challenges faced by Europe’s solar industry, where Chinese prices have significantly undercut many local firms. Although Chinese companies currently hold a minor share of the €57.2 billion European wind energy market, there is apprehension that their increasing presence could replicate past issues.
The European Commission has launched an investigation into whether Chinese companies are leveraging unfair government subsidies to undercut prices and gain a competitive edge in the wind energy sector. European Competition Commissioner Margrethe Vestager has accused China of employing similar tactics in the clean-tech sector as it did to dominate the solar panel market, involving substantial subsidies. Pierre Tardieu, Chief Policy Officer at Wind Europe, warns that the industry may be nearing a critical juncture where Chinese companies could overtake European leaders like Denmark’s Vestas and Germany’s Siemens Gamesa. Tardieu believes this shift would negatively impact both the European wind market and the broader economy.
Wind Europe, representing 550 renewable energy organizations, has expressed concerns that Chinese manufacturers are offering turbine prices 40-50 percent lower than their European counterparts, along with the option for developers to defer payments. This pricing strategy, Wind Europe argues, likely reflects the impact of unfair government subsidies, which could undermine the competitiveness of European manufacturers and lead to a broader market imbalance.
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