EU’s “Europe First” Policy Sparks Outrage From US and China
The European Commission’s proposed “Clean Industrial Deal,” prioritizing EU firms in public contracts, has drawn sharp criticism from Chinese and American industry groups. These groups argue the proposal violates WTO rules by discriminating against foreign companies, hindering decarbonization efforts and escalating trade tensions. While the EU’s legal justification may be stronger against China, which isn’t a signatory to the Agreement on Government Procurement, concerns remain that such protectionism will increase costs and slow the clean energy transition. Further, the upcoming Industrial Decarbonisation Accelerator Act will reinforce this “made-in-Europe” preference, potentially exacerbating existing trade imbalances.
John Q. Hosedrinker