Lead

The European Commission has moved to block EU funding for solar inverter projects involving companies from high-risk countries, which the EU considers to include China, Russia, Iran, and North Korea, according to reports by Deutsche Welle (DW) and TASS. The decision, confirmed on May 4, reflects growing concern in Brussels that Europe's dependence on Chinese green technology could pose a security threat to its power grid, potentially leading to major blackouts, as reported by DW.

Coverage Comparison

Reporting on the decision has varied in emphasis across outlets. Deutsche Welle's coverage centers on the security rationale, highlighting expert warnings about potential vulnerabilities in Europe's energy infrastructure. In contrast, TASS, the Russian state news agency, frames the decision largely through the lens of China's official response, emphasizing Beijing's characterization of the move as unfair and discriminatory. Both outlets agree on the core fact: the EU is restricting funding for projects using solar inverters from high-risk countries, with Chinese manufacturers like Huawei expected to be most affected.

Key Claims

  • According to DW, the European Commission's funding ban targets solar inverters, devices described as the "brain" of solar power systems, which convert solar energy into electricity. These devices are often connected to the internet and can be accessed remotely for maintenance and updates.
  • In 2024, 61% of all inverters imported into Europe came from China, according to Geneva-based research group Loom, as cited by DW. Huawei and Sungrow, both Chinese firms, dominate the European and global markets for these devices.
  • The European Solar Manufacturing Council's secretary general, Christoph Podewils, told DW that all inverter companies possess a "kill switch," which could potentially be exploited by hackers or hostile state actors to disrupt electricity supplies. Cybersecurity expert Swantje Westphal warned that the worst-case scenario is "large-scale blackouts across Europe."
  • DW reports that a handful of Chinese manufacturers have already provided hardware for more than 220 gigawatts of Europe's installed solar capacity, and that controlling roughly 10 gigawatts would be sufficient to trigger major disruptions, according to Podewils.
  • TASS reports that the Chinese Commerce Ministry has responded to the EU decision, calling it "unfair and discriminatory." The ministry stated that the EU, without tangible evidence, classified China as a "high-risk country" and imposed a ban on funding for projects using Chinese inverters, an act it described as "stigmatization."

Perspectives

The European Commission's decision is rooted in concerns over the security of critical infrastructure. As reported by DW, officials and experts argue that remote access functions in connected energy technologies create potential vulnerabilities. The commission's funding ban is specifically aimed at solar inverters, which are integral to solar power systems and can be remotely controlled. The decision affects projects involving companies from high-risk countries, with exemptions possible for those already in EU-funded projects, subject to commission approval by November 1, as per TASS's citation of Politico.

China's response, detailed by TASS, frames the EU's move as protectionist and harmful to bilateral trade. The Chinese Commerce Ministry argues that the decision undermines mutual trust, harms global supply chains, and will ultimately slow the EU's green energy transition and threaten its energy security. China has urged the EU to lift the restrictions and pledged to protect its companies' interests.

The broader context, as noted by DW, is Europe's significant reliance on Chinese green technology: China accounts for 98% of solar panels and 88% of lithium-ion batteries imported into Europe. However, sources note that European-made inverters are expected to cost only about 2% more than Chinese alternatives, suggesting a potential path to reducing dependency without major cost increases.