Not long ago, French Foreign Minister Céjourne arrived in Beijing for a visit at the invitation of Foreign Minister Wang Yi and made promises to China at the Sino-French meeting. As a result, as soon as the plane left Beijing, there was news that France was going to suppress Chinese companies.
1. Sino-French Friendship Meeting
As we celebrate the 60th anniversary of the establishment of diplomatic relations between China and France and coincide with the Sino-French Year of Culture and Tourism, people-to-people exchanges between the two countries are obviously inevitable.
Although Foreign Minister Wang Yi had reached a consensus with the French side during his previous visit to Europe, the two countries would strengthen cooperation in the field of cultural tourism and cultural exchanges, and clearly implement measures such as increasing direct flights to further facilitate people-to-people exchanges between the two countries.
But at this special moment, French Foreign Minister Céjourne arrived in Beijing for a visit, and the purpose was not simply to promote Sino-French exchanges.
(The main purpose of the visit of the French Foreign Minister to China is for bilateral trade cooperation)
After all, China and France have maintained close exchanges and cooperation for a long time, but there will inevitably be estrangements in exchanges and cooperation, and bilateral trade is a matter that affects Sino-French relations.
Chinese goods have always had a competitive advantage of "high quality and low price", which undoubtedly makes it difficult for French companies to survive, and the French government has taken relevant measures to suppress Chinese companies, and the funds obtained from the crackdown are subsidized to local French brands.
And this is undoubtedly plundering the living space of Chinese enterprises in disguise.
(The high quality and low price of Chinese goods make it impossible for French companies to survive)
However, Sejourne obviously recognized the advantages and potential of China's economic development, and his visit to China by invitation was undoubtedly aimed at taking the initiative to ease relations with China and promote bilateral trade cooperation between the two countries.
Not only that, but Cejourne also took the lead in giving a big gift, publicly stating in front of Foreign Minister Wang Yi that "decoupling" from China's economy is undesirable, which clearly reflects France's determination to cooperate with the two sides.
Second, France is ruthless against Chinese enterprises
However, when the French plane left Beijing, the French government suddenly changed its face and publicly announced that it would suppress Chinese companies.
Recently, French Minister of Economy and Finance Le Maire publicly announced that France will support the development of the local solar industry through two aspects when visiting the French photovoltaic park.
(Le Maire said he would support the local solar industry)
First, investment support.
The government will invest in two solar panel production plants in mainland France, and the total investment of the two companies is expected to reach 2.2 billion euros, equivalent to about 17.246 billion yuan.
Second, tax breaks.
The two companies will also benefit from tax breaks of up to 200 million euros, or about 1.568 billion yuan, and are even likely to receive additional financial support.
Le Maire also said that the purpose of this is to weaken the dominance of China's photovoltaic industry in the market.
And when talking about these new measures, Le Maire said that this is not only a weakening of China's photovoltaic industry, but also a suppression of China's electric vehicle industry.
Even Le Maire followed the example of the United States and formed a gang to "contain China."
He has urged other EU countries to buy French-made solar panels.
It has been pointed out that such an approach is likely to violate EU rules that prohibit public projects from favoring companies in one country.
Not only France has the idea of suppressing Chinese photovoltaic companies, but the EU has also planned to attack Chinese photovoltaic companies many times.
Third, the EU is divided on containing China
Previously, in order to achieve the goal of doubling photovoltaic power generation, the EU frequently planned to use "trade weapons" to reduce its dependence on Chinese enterprises.
And this idea has undoubtedly caused concern among EU officials.
The European Commission's financial commissioner has directly warned that the EU needs to consider its role in the PV industry before considering any restrictions on the import of modules. After all, the EU needs affordable solar panels.
The move was praised by the CEO of the European Photovoltaic Industry Association, who said that trade protection would not help the industry.
The European Solar Manufacturing Council's industry associations said European manufacturers would face bankruptcy if they did not take corresponding measures against Chinese companies, and asked the European Commission to take emergency measures in response to the surge in Chinese PV module imports.
At the same time, many European PV companies have suffered a production crisis, which is undoubtedly blamed by some EU officials on China's large imports of PV products.
There is even news that the EU has turned to India, the United States and other countries to cooperate in order to reduce its dependence on Chinese supplies.
Against the backdrop of the globalization of the PV industry and the competitive advantages of China's PV modules, it is clear that cracking down on Chinese companies has become a top priority for many, but some still believe that this approach will hinder the achievement of energy transition goals.
(The EU is divided on containing China)
Fourth, there is no way out of "decoupling and breaking the chain".
China has made it clear that the development of economic globalization will definitely suffer setbacks, but the development trend will not change, and it is wrong to choose "decoupling and breaking the chain", and openness and cooperation are the only choice.
Even many facts continue to warn the international community that the biggest risk to the world economy will be the only way for individual countries to blindly engage in "decoupling and breaking chains" and trade protection under the pretext of national security and under the banner of "de-risking".
These words are not only referring to American names, but also French surnames.
(Biden has caused inflation in the United States because of the containment of China)
And China does occupy a major position in many areas of development, which will undoubtedly cause some countries to be blushing.
Taking the photovoltaic industry as an example, China's control of the solar industry is mainly reflected in the following aspects.
First, the raw material side.
As China grows, expands, and invests in the solar sector, about 91% of the polysilicon used in solar panels on the market will be produced in China by 2023.
Second, the superiority of power infrastructure.
Most of China's factories are located in areas where cheap electricity can be provided, which has resulted in significant cost savings for most solar manufacturing plants in China.
Third, establish a supply chain.
Many Chinese cell manufacturers produce not only solar cells, but also some silicon wafers and panels, which makes Chinese cell manufacturers less dependent on module imports and greatly reduces the cost of manufacturing solar panels.
(Chinese cell manufacturers no longer rely on module imports)
Obviously, China's photovoltaic industry did not develop overnight.
Instead of following the example of the United States in its strategy of "containing China", France should reach a consensus on cooperation with China, adhere to true multilateralism, promote the development of economic globalization, and let the world economy burst with more youthful vitality.
After all, China is an opportunity rather than a risk to Europe, a partner rather than an enemy.
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