The European Union has unveiled its plans to ensure that 40% of its green technologies are produced within the bloc by 2030, France24 reports, citing AFP. This is part of the Union’s effort to simultaneously reduce reliance on China and compete with the US’s $369 billion in subsidies it is setting aside for clean tech, which caught the attention of European manufacturers.
The Net Zero Industry Act hopes to expedite permit processes, favoring European companies in public tenders, and creating investment opportunities.
China’s overpowering presence in the solar industry raised concerns in Europe since China processes over 90% of solar panels. The drafted law comes out of an existential necessity to not be at the mercy of depending on China for critical materials with potential direct economic impact.
The EU’s diligence to become self-reliant comes after it has suffered economically following Russia’s invasion of Ukraine.
Regardless of efforts, critics have voiced skepticism about their efficacy. Concerns have extended beyond solar and wind industries to heat pumps, batteries, and electrolyzers.
The EU’s leadership overarching goal is to bring investments to Europe by fostering domestic production to mitigate vulnerabilities to outside economic influence.
