Overview
- China's commerce ministry warned Monday it will retaliate if the EU passes its Industrial Accelerator Act and harms Chinese firms, after submitting formal objections on April 24.
- The draft, branded as a Made in Europe plan, links public funding and government contracts to minimum EU content in batteries, electric vehicles, photovoltaics and critical raw materials.
- MOFCOM argues the bill adds EU-origin exclusivity in procurement, creates investment barriers for foreign investors, and likely breaches WTO rules on most-favored-nation and national treatment.
- In its filing, China asked the EU to drop local-content thresholds, mandatory technology and IP transfers, and procurement limits that block foreign bidders.
- The proposal still awaits EU approval, and China says it is open to talks as the Chinese Chamber of Commerce to the EU warns the shift toward protectionism could curb trade and chill new investment.