German Economy Minister: Germany Is Ready To Unilaterally Take Action Against China's Photovoltaic Industry.

In September this year, the media has published an article, pointed out that in the "strong foreign competition", the European Union countries photovoltaic industry has faced the end of bankruptcy, in the article they directly pointed the finger at China, said that it is because of China's products are too cheap, so that many European energy producers can not compete, and a number of subsidies on the parts of the business has been on the verge of bankruptcy. The article cites a set of data showing that Chinese products are too cheap for many European energy producers to compete. The article cites a set of data showing that more than 90 percent of the silicon ingots and wafers used to make solar panels in the European Union come from China, while less than 5 percent are homegrown, meaning that there is no "room for survival" for local companies.

The news mentioned that part of this article, although exaggerated in fact, rendering the so-called "threat", but the EU photovoltaic products compared to China's competitiveness lagged behind, has not been short-term news. European media move is to pave the way for the EU to launch a subsidy investigation, a number of European companies are currently reaching a similar import and export agreements with China, Von der Leyen was revealed to be preparing to take measures. Sources close to the matter said that German solar companies are Europe's domestic "to take the lead", but because of the price factor, the vast majority of solar panels have begun to import from China. And because of the trade links between China and Germany, they are unlikely to take radical means to deal with.

December 17, Germany's economy minister Habeck said in an interview, Germany is ready to unilaterally on China's photovoltaic industry, "out", but to take is not confrontational means. He plans to provide state subsidies to strengthen the strength of the country's solar manufacturers, in the price of the issue of not losing to China. Habeck mentioned, Germany's local enterprises have other countries do not have the advantage of the solar industry for the creation of jobs is very important; comprehensive consideration of the industry has been involved in the issue of economic security, Germany can not continue to sit back and ignore it, but really want to come up with ways to "compete" with foreign countries.

Analysts believe that the German Minister of Economy mentioned here is of course China's rivals, this move also shows that they are ready to increase subsidies to reduce domestic dependence on imports of China's photovoltaic industry, so that the German people use their own products, and even be able to export to the whole of Europe. This move will first trigger the rest of Europe, the European Photovoltaic Industry Association has warned China not to overuse trade protectionist policies. But for China, this kind of subsidy is better than the mutual tax increase "photovoltaic tariff war", ten years ago the European Union has used subsidies as an excuse to raise taxes to control China's photovoltaic imports, but lasted a few years and then lifted.

It is also worth mentioning that some speculation that there is a situation: Germany first to China's photovoltaic industry to show "goodwill", clearly not ready to tariffs to solve the way; and then the EU launched a PV protection investigation of China, Germany can be set aside to prevent China's "tariff retaliation ", the two sides are ready to cooperate to do things. In this regard, there are comments that: "do not quite believe that Germany will be so generous to use the means of subsidies to compete against China, the German Constitutional Court ruled last month, cut most of the expenses proposed by the German government, where do they find subsidies for funding? Moreover, this is not in line with the usual European methods, in any case, things to wait and see."