China accuses six US renewable-energy projects of WTO violations
Washington (Platts)--20Aug2012/137 pm EDT/1737 GMT
In the latest salvo of a brewing trade war between China and the US
over clean-energy manufacturing, China's Ministry of Commerce on Monday
said six renewable-energy projects in the US are illegally subsidized
and violate World Trade Organization rules.
In an announcement on its website, the ministry said the US' support for
those six projects in five states are "distorting normal international
trade" under the WTO's General Agreement on Tariffs and Trade.
The projects involve a solar-power rebate program in Massachusetts and
wind-power manufacturing incentives in Ohio. The ministry also cited
renewable energy projects in California, New Jersey and Washington
state, without identifying them.
The ministry urged the US to cancel its subsidies for the projects but
did not say in its announcement whether it would seek WTO arbitration
over the matter.
The Office of the US Trade Representative did not immediately respond to
a request for comment.
The US and China have accused each other over the past year of illegally
subsidizing their respective clean-energy industries.
The US has imposed tariffs and duties on imports of Chinese-made solar
products for allegedly dumping them at "below-market" costs.
The US has also imposed tariffs on Chinese-made wind turbines and has,
along with Japan and the EU, requested WTO arbitration over China's
export quotas on rare-earth metals, which are vital components in
several clean-energy applications.
In each case, China has said it is following WTO regulations and has
warned that any "restrictive measures" against its products would hurt
the US' economy.
--Herman Wang, herman_wang@platts.com --Edited by Carla Bass,
carla_bass@platts.com
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