EU expands WTO case against China’s alleged forced technology transfers
- European Union challenging laws that regulate the approval of investments for electric vehicles and biotechnology and the approval of joint ventures across sectors
- Beijing has previously said such transfers that concern the European Commission are voluntary and not forced
The European Union expanded its challenge against China at the World Trade Organisation over laws it says force the transfer of technology in areas including electric vehicles and crop seeds.
The European Commission, which oversees trade policy in the 28-member European Union, said on Thursday it was significantly broadening and deepening the scope of its World Trade Organisation (WTO) action against China.
A European Union official said Brussels had informed its partners of its action, but the challenge was not a joint one.
The European Union’s new complaint focuses on Chinese laws that regulate the approval of investments for electric vehicles and biotechnology and the approval of joint ventures across sectors.
The European Commission said that the Chinese laws imposed requirements on foreign companies operating in China, contravening a commitment not to do so made when Beijing joined the WTO.
“The so-called performance requirements force or induce European companies to transfer technology to their joint ventures with Chinese partners in exchange for the necessary administrative approvals by the Chinese authorities,” the Commission said.