THE TRADE DISPUTE BETWEEN CHINA AND THE US OVER CLEAN ENERGY

The trade dispute between China and the US over governmental clean energy



The trade dispute between China and the US over governmental clean energy

Introduction

The United Steelworkers union (“USW”) recently filed a Section 301 petition with the Obama Administration requesting an investigation of alleged subsidies and other support provided by China to its domestic “green technology” industries. The Administration now must decide whether or not to initiate an “investigation” of the issues raised in the petition, which would also mean starting the process for bringing a case at the World Trade Organization (“WTO”). The decision could have major ramifications for US and Chinese participants in the renewable energy and cleantech sectors and potentially broader political and economic implications for US-China relations. Chinese Ministry of Commerce of fair trade bureau has issued a statement saying the United States Steelworkers of clean energy policies in China is groundless accusations and irresponsible. U.S. Trade Representative's office received 301 applications and starts the survey, sent to the outside world the wrong signal of trade protectionism. China believes that the United States of any trade measures and practices must be in strict compliance with WTO rules; China will be based on WTO rules to safeguard their legitimate rights and interests.

Body: Discussion and Analysis

United Steelworkers of America is one of the nation's largest union. September 19, the Federation of the United States Trade Representative Office to the complaint, said the Chinese to support their own clean energy sector subsidy measures taken by non-market subsidies, these measures would be contrary to World Trade Organization (WTO) regulations, artificially reduce the China's clean energy product prices, which have an impact on U.S. industry and cause unemployment. In addition, the export of relevant Chinese products to the United States to enjoy the American taxpayers to support their development of clean energy related taxes paid. It is reported that Obama plans 90-day period to complete the relevant investigation, if proven to be related complaints justified, the U.S. government may seek bilateral consultations with China, and may be made to the WTO against China in the indictment.

Chinese Renewable Energy Industries Association Li Junfeng, Secretary-General that the special committee, and nearly 6,000 pages of court documents to illustrate relevant aspects of the preparation of this lawsuit has been more than a year at least, not only because China clean energy, including solar, wind power and other renewable energy, including nuclear power, clean coal and other industries, involving a wide range, so both the government level or enterprise level, are on the matter should be given full attention. Analysts believe that the discontent caused by the United States because of China's clean energy industry has caught up and surpassed the United States. At present, China has become the world's largest exporter of PV equipment, 90% of photovoltaic products are exported to Europe, the United States and other international stores. In the field of wind power, and even the Global Wind Energy Council predicts that the end ...