China Launches Retaliatory Investigation into EU Foreign Subsidies and Trade Barriers

Jul 10, 2024, 08:50 AM

China's Ministry of Commerce has announced the launch of a trade and investment barrier investigation into the European Union's practices under the Foreign Subsidies Regulation. This move, seen as retaliation, comes in response to the EU's recent probes into Chinese enterprises, including those involved in railway locomotives, photovoltaic, and wind power equipment. The investigation will last from July 10, 2024, to January 10, 2025, with a possible extension to April 10, 2025, under special conditions. The investigation will involve surveys, hearings, and on-site activities to gather information from all stakeholders. The probe, which is only the fourth case since the Trade Barrier Investigation mechanism was introduced 22 years ago, was initiated at the request of a Chinese industry association and underscores the escalating trade tensions between China and the EU.