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Wednesday
25 Sep 2024

China’s Sany Plans European Production Start by 2026, Manager Says

25 Sep 2024  by reuters   
A man walks past a logo of Sany Group during a news conference in Beijing, October 18, 2012. REUTERS/Jason Lee/File Photo Purchase Licensing Rights

Chinese wind turbine maker Sany is preparing to start production in Europe by 2026 and is in advanced talks with potential European customers, the company's Europe renewables manager said on Tuesday.

The role of China in Europe's renewable power sector has come under scrutiny this year with the European Union in April launching an investigation into the subsidies received by Chinese turbine manufacturers as Europe seeks to safeguard its own industry.

"We have trimmed down the number of potential locations to three. Germany is one of the first three ... Spain is also an option," Sany Renewable Energy's Managing Director for Europe Paulo Fernando Soares told Reuters at the Hamburg Wind Energy Fair.

Soares said he expected the first European order to be finalised by the end of this year, adding that for initial orders, turbines would be shipped from China, while the company will offer its services through partners in Europe and its service centre in Germany.

"We own a facility in Bedburg, Germany, and are capable of building an assembly line today," Soares said. However, he acknowledged the complexity of Europe's regulatory environment, calling it a "patchwork of permits, regulations, and requirements."

Soares, former CEO of Siemens Gamesa's Onshore business in Asia Pacific, said Europe would struggle to meet its ambitious targets for new renewable projects without Chinese technology.

"Without China, there is no energy transition in Europe. Today, European manufacturers cannot build turbines without Chinese components," he said.

To meet EU 2030 renewable energy targets, Brussels estimates that at least 37 gigawatts (GW) of new wind power must be added annually, compared with the 17 GW of wind power added in 2023.

"By 2030, Chinese companies will be fighting to be the top suppliers in Europe," Soares said.


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