China expresses 'grave concern' over EU's proposed Industrial Accelerator Act

BEIJING: China commerce ​ministry on Friday ​expressed "grave concern" over the ​EU's proposed Industrial Accelerator Act (IAA) which imposes restrictions on foreign investment in batteries, EVs, ‌solar ⁠PV ⁠and critical raw materials, according to ​a statement.

A ministry spokesperson said China will ​closely monitor the legislation process of the act and assess ​its impact and ⁠China and Beijing ‌will resolutely defend ​Chinese ​firms' legitimate rights and ⁠interests.

The intensely debated IAA, unveiled Wednesday, ​will set low-carbon and 'Made in ​EU' requirements for public procurement of, or subsidies for, making aluminium, cement and steel, and technologies including wind turbines, ‌electrolysers or electric vehicles.


The Chinese spokesperson said the bloc's ​use ​of industrial development ⁠and green transition goals to justify new barriers amounts to protectionism that ​will backfire, undermine global trade rules and fair competition, and disrupt supply-chain stability.