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USTR request for comments on WTO dispute initiated by China over IRA tax credits

China has requested a WTO dispute settlement panel, alleging that certain clean energy tax credits violate WTO agreements

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August 26, 2024

The Office of the United States Trade Representative (USTR) is seeking public comments on a dispute initiated by China under the Marrakesh Agreement Establishing the World Trade Organization (WTO).

According to today’s USTR notice, China has requested a WTO dispute settlement panel, alleging that certain clean energy tax credits under the “Inflation Reduction Act” violate WTO agreements. The tax credits are:

  • The clean vehicle tax credit (IRC section 30D)
  • The investment tax credit for energy property (IRC section 48)
  • The clean electricity investment tax credit (IRC section 48E)
  • The production tax credit for electricity from renewables (IRC section 45)
  • The clean electricity production tax credit (IRC section 45Y)

Although USTR will accept any comments during the course of the dispute settlement proceeding, comments must be submitted on or before the date that is 30 days after the date of publication in the Federal Register (scheduled to be August 27, 2024) to be assured of timely consideration.

For more information, contact a professional with KPMG Trade & Customs services:

Doug Zuvich
Partner and Global Practice Leader
E: dzuvich@kpmg.com

John L. McLoughlin
Principal and East Coast Leader
E: jlmcloughlin@kpmg.com

Andy Siciliano
Partner and National Practice Leader
E: asiciliano@kpmg.com

Steve Brotherton
Principal and Global Export and Sanctions Leader
E: sbrotherton@kpmg.com

Luis (Lou) Abad
Principal, Washington National Tax
E: labad@kpmg.com

Irina Vaysfeld
Principal
E: ivaysfeld@kpmg.com

Amie Ahanchian
Principal
E: aahanchian@kpmg.com

Christopher Young
Principal
E: christopheryoung@kpmg.com

Gisele Belotto
Principal
E: gbelotto@kpmg.com

George Zaharatos
Principal
E: gzaharatos@kpmg.com

Andy Doornaert
Managing Director
E: adoornaert@kpmg.com

Jessica Libby
Principal
E: jlibby@kpmg.com
Jenna Leigh Glass
Managing Director
E: jennaleighglass@kpmg.com

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