Energy Insider: Beijing will limit production of ‘low-end’ solar panels; Beijing says EU investigation into electric vehicles violates regulations

This week, Caixin Energy Summary focuses on the significant climate, energy and industrial developments in China, discussing policy changes, industry trends and innovative projects focused on the country’s renewable energy transformation and global energy dynamics. (pt. 1)

**Beijing to slow solar market expansion:** China’s National Energy Administration (NEA) aims to control the rapid expansion of “low-end” solar capacity. According to Li Chuangjun, director of the NEA’s New Energy and Renewable Energy Department, the administration will direct the construction of projects in the upstream segments of the solar industry to avoid repeat events. The move is necessary as China’s solar sector is struggling with overcapacity due to excessive investment and local government projects that have exceeded domestic demand, resulting in falling prices and reduced profits for manufacturers. (pt. 4)(pt. 5)(pt. 6)

**Trade Minister Slams EU Investigation into Electric Vehicles:** China’s Trade Minister Wang Wentao has criticised the European Union’s investigation into Chinese electric vehicles (EVs), saying it violates World Trade Organisation (WTO) rules. The measure, described as a “typical protectionist measure”, is seen as a response to the EU’s decision to impose temporary tariffs that could raise total charges by up to 48% on Chinese battery-powered electric vehicles, potentially affecting Europe’s green transition goals. Both the EU and China have agreed to consultations on the matter. (pt. 8)(para. 9)(para. 10)

**China as a leading ‘electric nation’:** The Rocky Mountain Institute, a U.S.-based nonprofit, has highlighted China’s rapid adoption of electrification, making it the world’s first major ‘electric nation.’ Over the past decade, China’s electrification efforts – which include switching from fossil fuels to electricity-powered technologies – have progressed nine times faster than the global average. The country has led the way in patenting clean technologies, expanding battery production capacity and deploying wind and solar power, underpinning its strategic goal of increasing electrification to “around 30%” of final energy consumption by 2025 to support decarbonization and reduce carbon emissions. (para. 12)(para. 13)(para. 14)

**Producing green hydrogen at sea:** Chinese scientists, led by Xie Heping of the Chinese Academy of Sciences, tested a technology that produces hydrogen from seawater using wind energy. An experiment conducted on a floating platform in Xinhua Bay, Fujian Province demonstrated the successful production of high-purity hydrogen through direct electrolysis for over 240 hours, without seawater desalination. This breakthrough discovery is crucial for the industrialization of green hydrogen, especially in heavy industry and vehicles where reducing emissions is a challenge. (para. 16)(pt. 17)(para. 18)

**CATL Expands Energy Storage in Europe:** Contemporary Amperex Technology Co. Ltd. (CATL) has partnered with Rolls Royce to introduce a new energy storage system, TENER, to the UK and EU markets. The system, which can store up to 6.25 megawatt-hours of electricity in a 20-foot container, is designed for the large-scale energy storage market. CATL’s move is in line with its strategic interest in the European market, which is attractive to Chinese manufacturers due to its large potential, lack of a significant domestic supply chain and favorable trade policies. (para. 20)(para. 21)(para. 22)

Generated by AI, for informational purposes only