China drags US to WTO over solar tariffs

CHINA has launched the World Trade Organization dispute settlement procedure over US safeguard measures on imported photovoltaic products and subsidies for its renewable energy products, the Ministry of Commerce said.

“As the US measures severely damaged Chinese trade interests, China’s choice to resort to the WTO dispute settlement mechanism is a necessary move to safeguard its legitimate rights and interests and multilateral trade rules,” a ministry spokesman said.

The United States in January took safeguard measures on imports of some solar products with additional tariffs of up to 30 percent.

The US measures are suspected of violating WTO rules. “This kind of abuse of safeguard measures not only hurts the legitimate rights and interests of China, but also affects the authority of WTO rules,” the spokesman said.

“Besides the safeguard measures, the United States granted additional subsidies to domestic renewable energy products, including photovoltaic products, which are suspected of being import substitution subsidies and violating its national treatment obligations.

“The US subsidies provided its domestic renewable energy industry with an unfair competitive advantage, and damaged the rights and interests of Chinese companies.

“The above-mentioned wrongful US measures seriously distorted the international market for photovoltaic and other solar products and severely damaged China’s trade interests. We urge the US side to take practical action, respect WTO rules and abandon its wrong practices in order to bring the trade of related products back to normal.”