China and EU Lock Horns Over Subsidy Probes

Investigations into Chinese rail and solar firms have ignited a tit-for-tat trade fight.

You may also like

25th European Union – China Summit

Andres MARTINEZ CASARES / POOL / AFP

Investigations into Chinese rail and solar firms have ignited a tit-for-tat trade fight.

The EU is gathering evidence to review its 2023 foreign subsidy rules, which mainly target Chinese companies benefiting from heavy state support and competing for EU contracts. The planned 2026 overhaul will examine the impact of such subsidies and the Commission’s authority to launch investigations.

The rules have already strained relations with Beijing, following EU probes into Chinese businesses in sectors ranging from trains to solar panels. In June 2025, China hit back with its own investigation, accusing Brussels of trying to obtain corporate secrets — an allegation the EU rejects.

Leave a Reply

Our community starts with you

Subscribe to any plan available in our store to comment, connect and be part of the conversation!