UK to Exclude Chinese State-Owned Companies from All Future Nuclear Power Projects

[Image source=AP Yonhap News]

[Asia Economy Reporter Kim Suhwan] The UK government is reportedly considering excluding the Chinese state-owned enterprise China General Nuclear Power Group (CGN) from future nuclear power projects.

Bloomberg News reported on the 25th (local time) that the UK government is taking a tough stance toward China.

A spokesperson for the UK Department for Business, Energy & Industrial Strategy (BEIS) issued a statement saying, "All nuclear power projects must be conducted in accordance with the UK's rigorous legal regulations and national security requirements, and must align with national interests," adding, "Nuclear power plays a key role in the UK's low-carbon energy policy to address climate change."

Accordingly, CGN is expected to be excluded from the ?20 billion (approximately 31.6 trillion KRW) Sizewell C nuclear power plant construction project in Suffolk, eastern England, as well as the Bradwell offshore power project near Essex.

CGN currently holds a 33% stake in the Hinkley Point power plant project in Somerset, one of the largest infrastructure projects underway in the UK.

Bloomberg pointed out that this move exposes the deepening tensions between the two countries.

The UK government has recently announced a series of measures to counter China.

Prime Minister Boris Johnson previously banned the Chinese company Huawei from participating in the UK's 5G network projects.

Additionally, earlier this month, Johnson ordered a national security advisor to investigate and halted subsidy support related to the acquisition of the UK's largest semiconductor company, Newport Wafer Fab, by the Dutch semiconductor firm Nexperia, which is owned by Chinese capital.

Earlier, voices within the UK Conservative Party, the ruling party, have been growing to caution against expanding Chinese investment in UK infrastructure facilities.

Former Conservative Party leader Ian Duncan Smith emphasized, "The UK government must prioritize human rights as the most important value when establishing diplomatic and trade relations with other countries." This is interpreted as a call for a tougher stance toward China, where various human rights issues have been raised, including the suppression of the Hong Kong democracy movement and forced labor of Uyghurs in Xinjiang.