China initiates WTO dispute regarding U.S. tax credits for electric vehicles, renewable energy
China claims the U.S. credits at issue are dependent on the use of domestic over imported goods.
U.S. tax credits for electric vehicles, renewable energy
China has requested World Trade Organization (WTO) dispute consultations with the United States regarding certain tax credits under the U.S. “Inflation Reduction Act of 2022” to promote the production of electric vehicles and renewable energy projects. The request was circulated to WTO members on March 28, 2024.
According to today’s WTO release, China claims the U.S. credits at issue are dependent on the use of domestic over imported goods or discriminate against goods of Chinese origin in violation of provisions under the General Agreement on Tariffs and Trade 1994, the Agreement on Trade-Related Investment Measures, and the Agreement on Subsidies and Countervailing Measures.
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