China files a complaint with the WTO over the US electric vehicle subsidy program
Kyiv • UNN
China has filed a complaint with the World Trade Organization against the US electric vehicle subsidy program, which discriminates against Chinese products and disrupts the global supply chain.
China has filed a complaint with the World Trade Organization over the US program of subsidies for electric vehicles. This was reported by UNN with reference to Associated Press.
Details
China's Ministry of Commerce said on Tuesday that it has entered the WTO dispute settlement process as part of a protest against U.S. requirements that vehicles use parts from certain regions to qualify for subsidies.
Beijing emphasizes that the United States has formulated a discriminatory subsidy policy for new electric vehicles. The Chinese statement also says that the United States excludes Chinese products, distorts fair competition, and disrupts the global supply chain for new electric vehicles.
Context
The US government encourages the purchase of electric vehicles with tax credits of up to $7,500 - but only some car models will qualify.
In an effort to reduce the battery industry's dependence on China, Washington has announced subsidies for cars made in North America and the extent to which battery components and critical raw materials come from the United States or from certain trading partners.
Thus, owners of electric vehicles from BMW, Volkswagen, Nissan, Rivian, Hyundai, and Volvo cannot receive subsidies. Instead, the largest American automakers General Motors and Ford, as well as Tesla and Stellantis, may receive benefits
Recall
U.S. intelligence agencies have stated that China is providing economic and security assistance to Russia amid its war in Ukraine, supporting the aggressor country's industrial base, and posing threats to influence the 2024 U.S. elections.
