Title: Burning Showdown!Germany has recruited subsidies to compete with China's sunshine industry!
Well, that's what you want:
Hello everyone, I'm your military international relations blogger. Today, we are going to talk about the "sunshine dispute" in an international economic dispute, and the protagonists are none other than Germany and China.
The story begins at the moment when the photovoltaic industry in European countries is in trouble. In a September article, the Financial Times noted that the PV industry in EU countries is under threat of bankruptcy amid "strong external competition". They bluntly pointed the finger at China, believing that it is precisely because of the low cost of Chinese products that European energy manufacturers cannot compete, and parts manufacturers are on the verge of bankruptcy.
The article also cites a set of data showing that more than 90% of the silicon ingots and wafers used to make solar panels in the EU come from China. This makes it impossible for European companies to survive in this competition. It is undeniable that China's photovoltaic industry does occupy an absolute advantage in the world, which is one of the reasons why Europe paves the way for the EU to launch a subsidy investigation.
In this "battle for the sun", Germany has become a high-profile player. Although German solar energy companies are considered "handy" in Europe, most solar panels have begun to be imported from China due to the influence of the most important factors. In addition, the complexity of Sino-German relations also makes it difficult for Germany to take an aggressive approach to the situation.
German Economy Minister Habeck revealed in an interview that Germany is ready to strengthen its own solar manufacturers by providing state subsidies to not lose to China in terms of quality. He highlighted the unique strengths of local German companies in the solar industry, especially in terms of job creation. Considering the impact of the solar industry on economic security, Habeck believes that Germany cannot sit idly by and must take a substantive approach to compete with foreign countries.
Regarding the statement of the German economy minister, some commentators believe that Germany's move is actually implying that the opponent is China. This also indicates that Germany may reduce its import dependence on China's photovoltaic industry by increasing subsidies in the future, trying to make German people use their own products, and possibly even export to the whole of Europe.
This move could not help but spark discontent in other European countries. The European Photovoltaic Industry Association has issued a warning to China, calling for excessive use of protectionist policies. For China, however, this form of subsidy is more modest than a "PV tariff war". It is worth mentioning that some speculation that Germany may have shown "goodwill" in advance and made it clear that it is not prepared to resort to tariffs, while the EU has taken the opportunity to launch a PV protection investigation to avoid tariff retaliation from China and achieve a win-win situation.
However, some commentators have expressed skepticism that Germany can use subsidies so generously to compete with China. After all, the German Constitutional Court cut most of its spending in last month's ruling, and the subsidy came from the moneyMoreover, it does not seem to be in line with the usual European way of doing things. In short, we need to wait and see how events develop.
In this "sunshine battle", Germany chose to deal with China's photovoltaic industry through subsidies, which has attracted attention and heated discussions from all parties. This is not just an economic dispute, but a game in international relations. We will continue to follow this topic and see what the future holds. In this field of military international relations, the dispute over the PV industry may be just the beginning, and more complex situations are waiting to be revealed. Stay tuned to my blog and let's take a spark together.