China Says EU's Foreign Subsidies Law Is a Trade Barrier
The EU’s Foreign Subsidies Regulation, a 2023 law that allows the bloc to respond to market-distorting foreign subsidies by foreign countries, was deemed an unfair trade and investment barrier by China’s Ministry of Commerce last week.
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The ministry, which began a probe of the new EU law in July, said the “first five investigations” the EU launched under the law were all aimed at Chinese companies and that those investigations haven’t been transparent. The law “significantly increased the uncertainty of China-EU economic and trade cooperation, undermined the atmosphere of economic and trade cooperation between the two sides, and relevant business associations have repeatedly expressed deep concerns about whether the EU can continue to remain open and create a level playing field for Chinese enterprises,” the ministry said, according to an unofficial translation.