Europe Hits China’s Wind Industry With Anti-Dumping Duties
Europe slapped import tariffs of up to 19.2% on Chinese steel wind turbine towers as governments seek to protect industries producing clean power equipment needed for the energy transition.
The European Commission found that Chinese firms had dumped about 300 million euros ($337 million) a year worth of towers at below-market prices, hurting European producers, it said in a Dec. 16 statement.
Governments around the world are seeking to support domestic clean energy supply chains after Chinese firms have come to dominate solar panel production and are looking to expand in wind. The anti-dumping duties will secure over 3,600 jobs in the 1 billion euro industry in the EU, the commission said.
“These measures serve to protect and defend EU producers and workers from trade distortive practices that harm EU manufacturing,” the commission said.
China’s top tower maker Titan Wind Energy Suzhou Co. fell 6% in Shenzhen Monday after saying late Friday it now faced 14.4% anti-dumping duties in Europe. Dajin Heavy Industry Co. will be charged 7.2%, while other Chinese companies that did not cooperate in the European Commission’s investigation face 19.2% levies.
Sales to Europe made up 6% of Titan’s revenue in the first nine months of the year, and the company will expand exports to non-EU countries while accelerating construction of its manufacturing base in Germany to reduce the tariff impact, the company said in the statement.
“Demand in the domestic market has been high in recent years, so the importance of overseas markets is even lower,” said Leo Wang, a BloombergNEF wind analyst based in Beijing.
China’s largest wind turbine maker, Xinjiang Goldwind Science & Technology Co., fell as much as 10% in Hong Kong and its peer Ming Yang Smart Energy Group Ltd. dropped 4.6% in Shanghai.
Source : bloombergquint
