{"id":477732,"date":"2026-06-01T16:48:09","date_gmt":"2026-06-01T16:48:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/477732\/"},"modified":"2026-06-01T16:48:09","modified_gmt":"2026-06-01T16:48:09","slug":"chinas-state-subsidies-up-to-eight-times-more-than-oecds-report-says","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/477732\/","title":{"rendered":"China&#8217;s state subsidies up to eight times more than OECD&#8217;s, report says"},"content":{"rendered":"<p>\n         Published on<br \/>\n            01\/06\/2026 &#8211; 15:28 GMT+2\n            <\/p>\n<p>Chinese companies received between three and eight times more subsidies than Western firms between 2005 and 2024, according to a report published on Monday by the Organisation for Economic Co-operation and Development (OECD).<\/p>\n<p>          <img decoding=\"async\" class=\"c-ad__placeholder__logo\" src=\"https:\/\/static.euronews.com\/website\/images\/logos\/logo-euronews-stacked-outlined-72x72-grey-9.svg\" width=\"72\" height=\"72\" alt=\"\" loading=\"lazy\"\/><br \/>\n          ADVERTISEMENT<\/p>\n<p>          <img decoding=\"async\" class=\"c-ad__placeholder__logo\" src=\"https:\/\/static.euronews.com\/website\/images\/logos\/logo-euronews-stacked-outlined-72x72-grey-9.svg\" width=\"72\" height=\"72\" alt=\"\" loading=\"lazy\"\/><br \/>\n          ADVERTISEMENT<\/p>\n<p>The findings come as European policymakers struggle to stem a wave of low-cost Chinese imports across sectors ranging from metals and chemicals to cars and green technologies.<\/p>\n<p>Last week, the European Commission held an \u201corientation debate\u201d in Brussels and concluded that \u201cthe current state of the trade and investment relationship [with China] is not sustainable.&#8221; <\/p>\n<p>The OECD warned that state aid risked tipping the playing field. \u201cLarge and persistent industrial subsidies can distort global markets, creating unfair competitive advantages and contributing to excess supply capacity,\u201d said OECD Secretary-General Mathias Cormann.<\/p>\n<p>The report said Chinese firms benefit from state support through grants and below-market borrowings (BMB), with the latter \u201cproving especially large.\u201d<\/p>\n<p>That support is enabled by \u201cthe structure of the country\u2019s financial system, notably the fact that most corporate loans are issued by state banks and policy banks at rates close to China\u2019s one-year lending benchmark,\u201d the report said.<\/p>\n<p>Global state subsidies are concentrated in sectors including solar panels, semiconductors and heavy industries such as steel and aluminium.<\/p>\n<p>The average aid for wind turbines stood at 1% of global company revenue over the 2005-2024 period. For Chinese companies, however, subsidies have been \u201cconsistently\u201d above 2% over the past 15 years and exceeded 5% in \u201cmultiple\u201d years.<\/p>\n<p>Support is even more pronounced in semiconductors. While subsidies averaged 2% of firm revenue globally, \u201cfor firms based in China, subsidies reached nearly 10% of firm revenue in 2021 and 2022,\u201d the OECD said. <\/p>\n<p>The EU says some Chinese subsidies are unfair trade practices, and is investigating products on a case-by-case basis. In 2022, it also adopted the Foreign Subsidies Regulation, allowing the Commission to probe foreign companies receiving state support when engaged in mergers or public procurement procedures in the bloc.<\/p>\n","protected":false},"excerpt":{"rendered":"Published on 01\/06\/2026 &#8211; 15:28 GMT+2 Chinese companies received between three and eight times more subsidies than Western&hellip;\n","protected":false},"author":2,"featured_media":477733,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[72,113,33013,97767,61,60,1064],"class_list":["post-477732","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-eu-policy","tag-eu-china","tag-ie","tag-ireland","tag-subsidies"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/477732","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=477732"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/477732\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/477733"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=477732"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=477732"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=477732"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}