CITIC Construction Investment: La Unión Europea planea restringir las subvenciones a los inversores chinos, impacto real limitado

CITIC Securities Research report states that, recently, the European Union plans to tighten funding support for Chinese inverter projects after the IAA Act. After in-depth research, CITIC Securities believes that: (1) This new policy is consistent with the direction of the IAA, although it is not part of its supporting detailed rules, it can be regarded as a preliminary step of the bill; (2) The new policy covers projects relying on EU-level financing support, mainly affecting centralized projects in Eastern Europe, while the impact on market-oriented projects in Western Europe and various countries’ behind-the-meter solar storage projects is relatively limited; (3) Combined with the IAA, the pace of local promotion in Europe is relatively slow, and coupled with the existing short-term gaps, it is expected that only after 2028-2030 can a relatively complete local supply chain be gradually realized, and the bill retains exemption space, member states’ implementation also has flexibility, and the inverter global market is becoming increasingly fragmented. In the long term, global competitiveness remains the core key for Chinese companies to respond to policy disturbances. (People’s Financial News)