Ministry files complaint over EU bill's foreign investment restrictions

China has submitted a complaint to the European Commission over the EU's proposed Industrial Accelerator Act, warning that the legislation would create "serious investment barriers and institutional discrimination" against Chinese companies and vowing countermeasures if Brussels pushes ahead, the Ministry of Commerce said Monday.

The ministry submitted its official comments to the European Commission on Friday, expressing China's formal position and concerns regarding the draft law, a spokesperson with the ministry said.

The act imposes numerous restrictive requirements on foreign investment in four emerging strategic sectors — batteries, electric vehicles, photovoltaics, and critical raw materials — while introducing "EU origin" exclusivity clauses in public procurement and support policies, the spokesperson said.

China has called on the EU to remove discriminatory requirements against foreign investors, local content requirements, mandatory transfers of intellectual property and technology, and restrictions on public procurement, the spokesperson added.

The spokesperson noted that China will closely follow the legislative process and stands ready to engage in dialogue and communication with the EU.

However, the spokesperson cautioned that if the EU ignores China's suggestions and insists on pushing the legislation through, thereby harming the interests of Chinese companies, China will have to take countermeasures. (source: China daily)