Chinese Companies Dominate EU-Funded Infrastructure Projects
Brussels' Global Gateway Plan Depends Heavily on Chinese Builders
In an unexpected turn, many European Union-funded infrastructure projects across the globe are being constructed by Chinese companies, despite the EU's intention to compete with China in this arena.
Notably, since 2019, Chinese firms have garnered over €1 billion in contracts for projects funded by the European Investment Bank (EIB) outside the European Union in countries like Georgia, Senegal, and Tunisia.
These projects include major undertakings like Georgia's East-West Highway, primarily constructed by Chinese state-owned enterprises with financial backing from the EIB, the World Bank, and the Asian Development Bank.
This trend underscores a significant irony: while the EU, under its Global Gateway initiative led by European Commission President Ursula von der Leyen, seeks to rival China's international influence as exerted through the Belt and Road Initiative, it often finds its infrastructure projects executed by Chinese builders.
Despite EU efforts to ensure competition fairness through regulations like the Foreign Subsidies Regulation, Chinese state-owned enterprises continue to win substantial contracts, leveraging competitive pricing and government backing.
This dynamic is stirring debate about the EU's ability to claim full credit for these projects, as was evident with the Pelješac Bridge in Croatia, which the EU funded but China promoted as part of its Belt and Road ambitions.
Notably, since 2019, Chinese firms have garnered over €1 billion in contracts for projects funded by the European Investment Bank (EIB) outside the European Union in countries like Georgia, Senegal, and Tunisia.
These projects include major undertakings like Georgia's East-West Highway, primarily constructed by Chinese state-owned enterprises with financial backing from the EIB, the World Bank, and the Asian Development Bank.
This trend underscores a significant irony: while the EU, under its Global Gateway initiative led by European Commission President Ursula von der Leyen, seeks to rival China's international influence as exerted through the Belt and Road Initiative, it often finds its infrastructure projects executed by Chinese builders.
Despite EU efforts to ensure competition fairness through regulations like the Foreign Subsidies Regulation, Chinese state-owned enterprises continue to win substantial contracts, leveraging competitive pricing and government backing.
This dynamic is stirring debate about the EU's ability to claim full credit for these projects, as was evident with the Pelješac Bridge in Croatia, which the EU funded but China promoted as part of its Belt and Road ambitions.
