THE European trade commissioner Peter Mandelson faces a clash with Germany this week as he tries to eliminate punitive tariffs on cheap energy-efficient light bulbs from China.

His plan has been hailed by British companies and environmental organisations as an important step in fighting climate change by offering the chance to cut the price of energy-saving light bulbs across Europe. Current duties push up the price of Chinese bulbs by as much as 66%.

The European Lamp Companies Federation estimates that if all inefficient traditional bulbs in Europe were replaced with more efficient bulbs, the continent would need 27 fewer power stations.

But Mandelson faces increasing opposition from Germany, home to Osram, the biggest maker of energy-saving light bulbs in the EU.

“We favour globalisation, but it has to be fair,” said the company. “Dumping is not fair competition.”

Osram has had support from the EU enterprise commissioner – Guenther Verheugen, a German.

EU officials said Michael Gloss, the German economy minister, had also written to Mandelson ahead of the commissioner’s meeting in Brussels this Thursday with trade experts from the bloc’s 27 member states.

Other EU countries that see Mandelson as too much of a trade liberal may also oppose his plan.

Mandelson’s spokesman said: “This is a difficult case that highlights the complex production patterns of many European companies and the need to ensure fair competition.”

Some companies are in favour of abolishing the tariff. The Dutch electronics company Philips imports large quantities of energy-saving light bulbs from China and wants the duties scrapped.

Philips is supported by several British firms, including Tesco, which already halved the price of energy-efficient bulbs in January, forcing competitors’ prices down.

Tesco welcomed the move to scrap the duties. “Obviously if you get more suppliers on the market, it will push prices down,” it said.

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