Chinese Carmakers Push Deeper Into Europe Despite Rising EU Trade Barriers
Visual Credits: Wikimedia Commons
China’s vehicle exports to the EU rose 30% year-on-year to exceed 1 million for the first time in 2025, while remaining the bloc’s largest source of auto imports, despite Brussels’s “punitive tariffs” on Chinese-made electric vehicles (EVs), reported financial news outlet Caixin. News outlet Yicai reported that BYD’s chairman, Wang Chuanfu, predicted the company will be the world’s largest automaker within five years. Chen Shihua, deputy secretary-general of the China Association of Automobile Manufacturers (CAAM), said China’s domestic auto demand has declined “more sharply than expected” and will likely remain under “heavy pressure” throughout 2026, reported Reuters. The Associated Press said that “exports of new-energy vehicles, including pure EVs and plug-in hybrids, more than doubled in May from a year earlier”, according to CAAM.
South China Morning Post reported that the EU has begun preparations for next week's 'blockbuster summit’, where the bloc will decide on the “future direction” of its China policy. However, expectations are “low” that Beijing will “give even an inch” on demands to “rein in its trade and industrial policies.”. The EU’s “three-supplier rule” is “blatant protectionism” and another example of the “politicisation and securitisation of economic and trade issues”, according to Chinese news outlet Science and Technology Daily. China’s Global Times said restrictions on Chinese “green machinery exports” are “slowing down green transitions and industrial upgrades” globally, adding that China’s new-energy machinery exports offer cost-effective solutions to an “urgent and tangible” global need.
China Has Begun Operations of the “World’s First Undersea Data Centre Directly Powered by Offshore Wind”
China began operations of the world's first undersea data centre directly powered by offshore wind, to solve the soaring energy demands of artificial intelligence with greener and more efficient infrastructure, reported the China Daily.
The Shanghai Lingang undersea data center project, built by a subsidiary of China Communications Construction, combines offshore engineering, renewable energy and AI-focused digital infrastructure, the outlet said.
The project has a planned capacity of 24 megawatts, which is enough to power roughly 20,000 households. In a “direct offshore wind connection" power generated by offshore wind farms is transmitted directly to submerged data modules through subsea photoelectric composite cables, bypassing traditional grid-routing systems.
The system also uses seawater as a natural cooling source through a circulating copper-pipe heat exchange design, reducing electricity consumption by 22.8 percent, eliminating freshwater use entirely and cutting land usage by more than 90 percent.
EU Frets as China Builds EV Supply Hub and Battery Components in Morocco
Financial Times reported that China’s manufacturers are “rapidly” expanding in Morocco, building auto parts and battery components to help “power Europe’s electric-vehicle revolution”, concerns are growing in Brussels that Morocco could become a “launch pad for heavily subsidised goods that threaten to swamp European industry”.
China is rapidly investing in Morocco, building a massive electric vehicle supply hub including industrial parks and a $1.3 billion battery gigafactory.
European Union policymakers fear that China is using Morocco as a backdoor to bypass heavy EV tariffs by exporting minimally processed parts tariff-free to Europe.
Moroccan officials deny the allegations, highlighting strong rules of origin and significant local value-add. The situation creates a dilemma for EU regulators, as penalizing Moroccan exports could disrupt supply chains for major European carmakers that operate in Morocco, reported Business Insider Africa.
The World’s Biggest Battery Maker, CATL, Says Energy Storage is Expected to Account for Half of its Global Sales by 2030, up From 25% Now
The world's top battery manufacturer, CATL, expects sales of battery storage systems to account for half of its total sales in the coming years, signaling strong optimism about the battery storage sector as countries investing in alternative energy seek to make it more reliable, Reuters reported.
Storage is the only way to use electricity later than the moment it was generated, which is how electricity is normally used. With regions such as Europe and parts of Asia betting big on wind and solar electricity, battery storage has become a necessity. China, CATL's home country, is also among the big investors in battery storage as it seeks to curb the waste of surplus wind and solar generation during periods of low demand.
'Sovereign Technology': UK Replaces US Firm Palantir’s Tech With In-House Set Up
The UK government said millions of pounds have been saved by replacing a Palantir IT system which helps to find homes for Ukrainian refugees with one built by its own experts, reported the BBC. The report said the Government's chief commercial officer informed Palantir of his concern about the firm's practice of offering a zero-cost initial offer to turn into a commercial project.
The department set a precedent by moving a complex live system to an in-house set up, reducing reliance on external suppliers, the outlet said adding that message may be particularly welcome to those who have criticised Palantir and its contracts across UK public services - including with the NHS, the Ministry of Defence (MoD), the Financial Conduct Authority and 11 police forces.
British lawmakers called for the government to end a contract between the country's National Health Service and AI giant Palantir, warning of an over-reliance on US data provider, reported ET.
European governments are also reevaluating their agreements with US defence tech contractor Palantir
“Palantir's involvement with US immigration enforcement and Israel's military, as well as the beliefs of its two most prominent founders, make it an unsuitable partner, " the BBC report said.