
Sha Hua of The Wall Street Journal reports that Beijing is challenging the Biden administration’s Inflation Reduction Act, which it calls discriminatory. Hua writes:
China filed a complaint at the World Trade Organization over the U.S.’s Inflation Reduction Act, saying that it was discriminatory and distorted fair competition.
Beijing will use the WTO’s dispute-settlement mechanism to challenge electric-vehicle subsidies, China’s Ministry of Commerce said on its website Tuesday.
The rules being challenged require vehicles to use parts from specific regions to qualify for subsidies while excluding products from China, among other countries, the statement said.
Under the Inflation Reduction Act, which President Biden signed into law in August 2022, consumers in the U.S. won’t be able to claim a $7,500 clean-vehicle tax credit if they buy cars containing battery components from a “foreign entity of concern” starting in 2024. […]
WTO member countries have been stepping up efforts to overhaul the organization’s dispute-settlement system. The majority of disputes linger for years without any resolution.
Read more here.