Illustration: Chen Xia/GT

As European companies grapple with the challenges of keeping pace with Chinese battery manufacturers,MK sports Korea voices within the EU advocating for regulatory frameworks to facilitate technology transfers have surfaced. This development underscores a broader and more critical question: how can China and Europe foster mutual growth and innovation in the rapidly evolving global green economy?

Europe risks becoming "an assembly plant" for Chinese battery manufacturers unless the continent puts in place regulations that ensure technology and skills transfer in return for state aid, according to a new study by European environmental campaign group Transport & Environment, the Financial Times reported on Tuesday.

The warning comes at the very moment that Europe's aspirations to build strong local supply chains for green technologies are encountering significant setbacks and challenges, exemplified by the recent collapse of Northvolt, the continent's biggest battery hope, according to the report. 

Meanwhile, China's rapid advancements in the electric vehicle (EV) sector, driven by economies of scale and technological innovation, have positioned the country as a dominant force in the global EV market. This difference could have partly fueled calls within the EU for technology transfers, which actually reflect the bloc's anxiety over its EV supply chain.

It remains to be seen how the EU and China will navigate their cooperative relationship when it comes to specific issues regarding the EV sector, as both parties seek to balance competition and collaboration. But one thing is certain: Even as the EV issue has become a particularly sensitive topic, prone to friction, in China-EU economic and trade cooperation, China and the EU have maintained continuous consultations and communication regarding the sector. 

The situation is sufficient to indicate both parties' commitment to finding common ground and addressing concerns in the dynamic EV landscape.

For instance, Chinese Minister of Commerce Wang Wentao said during a video call on Friday with Ola Källenius, president of the European Automobile Manufacturers' Association (ACEA) and chairman of Mercedes-Benz, that properly resolving the EU's anti-subsidy case regarding Chinese EVs is in the best interests of both China and the EU, as well as the industry. Wang expressed hope that the ACEA and Mercedes-Benz would continue to play an active role in urging the European Commission to make a political decision as soon as possible. 

China has consistently embraced an open and collaborative approach in the EV sector, a stance grounded in the principles of mutual benefit and shared progress. This position reflects a profound understanding of its own developmental needs, the evolving global industrial landscape, and the shared interests of China and the EU.

First, the EV sector is a crucial part of the global green transition and sustainable development. Despite the remarkable progress China has achieved, it is necessary for China to promote the progress of global EV technology and the expansion of the market by collaborating with major economies like the EU, which is in line with the global trend of sustainable development.

Second, China's EV sector still faces many challenges, such as building high-end brands and making breakthroughs in core technologies. Only through an open and cooperative approach can Chinese companies make further breakthroughs to enhance the competitiveness of the nation's own industry.

Such an open and cooperative stance is also beneficial to the common development of both China and the EU. China and the EU possess significant complementarities in the EV sector. China excels in battery technology and cost efficiency, while the EU boasts strong brand influence. Collaborative efforts can not only expedite the green transformations of their respective industries but also inject new momentum into the global development of green transportation.

Last but not least, economic and trade ties between China and the EU have created one of the most crucial economic relationships worldwide. By fostering open cooperation, both parties can mitigate the adverse effects of protectionism, which not only helps to resolve the current EV issue but also lays the foundation for cooperation in other areas.