Chinese suppliers winning the contract to supply offshore wind turbines in the North Sea of Germany has raised concerns, with German Vice Chancellor Robert Habeck expressing his hope to prevent the Chinese Communist Party from controlling the data of the wind turbines.
On Tuesday, July 9th, Vice Chancellor Habeck attended an event at the city hall in Bonn, Germany. He told the citizens, “Wind energy components may come from China, I cannot rule out this possibility — I hope it is not the digital control components.”
Habeck was referring to a recent deal where Chinese suppliers won a contract to supply wind turbines for a North Sea offshore project in Germany, which has led to the German Ministry for Economic Affairs “closely monitoring” the situation. The Ministry stated last Wednesday, July 3rd, that this deal concerns critical infrastructure security and issues of fair competition, and they have the authority to review and block transactions deemed to have an impact on national security.
According to the deal between the German asset management company Luxcara and Ming Yang, a Chinese wind power company, the Chinese company will supply 16 turbines with a capacity of up to 18.5 megawatts each to the German side, with installation scheduled for 2028.
Earlier in April, the European Commission requested information to examine the alleged market distortion practices of Chinese wind turbine manufacturers in five EU countries. China called this move “discriminatory.”
For security considerations, on July 3rd, the Ministry for Economic Affairs also halted the plan for Volkswagen’s gas turbine business to be sold to a state-owned company in China.
Habeck stated that Germany overall welcomes investments, but critical technologies essential for public safety must be protected, which is also why the deal was halted.
During the event at Bonn City Hall, Habeck also mentioned that the German government will not provide guarantees for companies investing in Xinjiang because of the accusations of human rights violations against the Uyghur people by the Chinese Communist Party.
He said, “I take this issue very seriously, we will not only demand greater control over the supply chain, but also supervise the supply chain more strictly.”