EU bodies predict no trade war over China solar case

There will be no trade war between China and Europe following the European Union's antidumping and countervailing probe against solar panels imported from China, an advisor to the Organization for Economic Cooperation and Development (OECD) and the vice president of the European Union Chamber of Commerce in China (EUCCC) said Thursday.

"I don't see a trade war," said Joerg Wuttke, an advisor to the OECD, at a media interview session of the European Chamber Annual Conference held in Beijing.

"The probe is part of relatively normal proceedings happening with other countries as well, I don't see serious threat for the relationship between China and Europe," said Jens Ruebbert, vice president of the EUCCC.

The European Commission agreed to impose punitive import duties on solar panels from China, Reuters reported Wednesday citing unnamed European officials.

"It will send the wrong message to the world that protectionism is coming," said Yi Xiaozhun, China's ambassador to the World Trade Organization, calling the decision a mistake.

As there has been no official announcement, the European Commission declined to comment.

"China and the EU are important economic and trade partners, and dialogue and negotiation are the right solutions to the solar power trade tension," said Yao Jian, spokesperson for the Ministry of Commerce (MOFCOM) on Thursday.

The case involves an export value of over $20 billion and 100,000 jobs, and if the EU creates obstacles, MOFCOM will do what it can to protect the interests of Chinese companies, Yao said.