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China Says US Clean-Energy Projects Violate WTO Rules

August 20, 2012 News No Comments

BEIJING—China’s Commerce Ministry said six renewable-energy projects in five U.S. states have violated global trade rules, though it stopped short of announcing any penalties.

The ministry’s announcement Monday continues the tit-for-tat moves in the clean-energy sector pitting China against its two-largest trade partners, the U.S. and European Union. It comes as clean energy policy is becoming an issue in the U.S. presidential elections and demand for wind and solar-power equipment from Europe is falling.

China’s commerce ministry said in its final ruling that the projects, including a solar-power venture in Massachusetts and a wind-power venture in Ohio, received subsidies that violated World Trade Organization rules and served as trade barriers to Chinese exports to the U.S.

The ministry also cited renewable-energy projects in Washington state, New Jersey and California, without elaborating. The ministry investigation, which began in November, was undertaken on behalf of industry associations representing Chinese exporters and renewable energy companies.

China calls on the U.S. to cancel practices not in line with WTO rules and to “give Chinese renewable energy products fair treatment,” it said on its website.

The U.S. has made moves of its own against Chinese-made clean-energy equipment, with the U.S. Commerce Department announcing a number of provisional and final duties against imports over the past six months.

U.S. renewable-energy policies have come under internal scrutiny during the presidential race there, with Republican candidate Mitt Romney criticizing the Obama administration for what he call excessive subsidies for the industry. Mr. Romney has also said that if president, he would stand up to China on trade and demand it play by global trade rules.

China’s clean-energy ties with the EU, too, are strained. Four Chinese solar companies last week urged the commerce ministry to investigate claimed support given to polysilicon imported from Europe…

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