Brussels: The European Union (EU) launched an investigation on Chinese security firm Nuctech with concerns that it received foreign subsidies that improved its competitive position in Europe at the expense of its rivals.
According to Kuwait News Agency, EU Commissioner for Competitiveness Teresa Ribera stated that security surveillance systems play a key role in detecting threats in Europe, emphasizing the need to ensure that all rival companies have a fair chance for competition. The investigation follows previous raids conducted at Nuctech's offices in Poland and the Netherlands in April 2024. This marks the first action under the EU's Foreign Subsidies Regulation, the European Commission noted.
EU regulators have identified several possible subsidies provided by China to Nuctech, including grants, preferential tax measures, and preferential financing through loans.