The EU has alerted China to its decision to launch an anti-dumping and anti-subsidy probe involving the mobile telecommunications networks sector, Trade Commissioner Karel De Gucht announced on Wednesday. "The European Commission has today taken a decision in principle to open an ex officio anti-dumping and an anti-subsidy investigation concerning imports of mobile telecommunications networks and their essential elements from China," a statement said.

By Robin Emmott and Francesco Guarascio BRUSSELS (Reuters) - The EU's trade chief will recommend placing punitive import duties on billions of euros of solar panels from China, people close to the matter say, putting up a barrier to protect European producers but risking upsetting Beijing. The case, the biggest the Commission has ever targeted, highlights the balancing act facing Brussels as Europe tries to protect against cheap imports while needing China, the EU's second largest trading partner, to help it emerge from recession.

European Commission president Jose Manuel Barroso on Thursday voiced confidence in the new Italian government's ability to meet public deficit targets set by the EU executive. Asked after meeting just sworn-in Italian premier Enrico Letta whether Rome might exit the union's excessive deficit procedure this month, Barroso said: "I am very confident that it will be possible, provided that now Italy details the measures it intends to take." A decision will be made May 29 when the Commission issues its country-specific recommendations.

Italy's new Prime Minister Enrico Letta said Monday his coalition government would act fast to reverse an austerity policy he argued was killing Italy and called on Europe to become a motor for growth. "Italy is dying from austerity alone. Growth policies cannot wait," Letta said during his inaugural speech to parliament, under the watchful gaze of European partners. The recession-hit country, effectively rudderless since an inconclusive election in February, is under pressure to act fast to tackle social, economic and institutional ills.