China and the European Union have agreed to discuss restrictions on imports of inverters, a key clean technology component, following last week’s trade talks. The 16-point accord included Beijing’s pledge to reduce hybrid car exports and Brussels’ commitment to consult on market access issues for inverters. The EU imposed restrictions in May on inverters used in projects funded by Brussels, targeting “high-risk suppliers” that could threaten electricity generation.
In the latest agreement, the EU clarified its policy is country-neutral and will engage in further discussions with China. Investors viewed the development positively, with shares of Sungrow Power Supply Co., one of the world’s largest inverter makers, rising as much as 3.3% in Shenzhen. The company earned over 70% of its revenue from overseas in the first half of the year.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing