Industry News

China Ends Certain Wind Power Equipment Subsidies Following WTO Dispute

June 7, 2011


U.S. Trade Representative Ron Kirk recently announced that China has ended certain wind power subsidies following WTO consultations with the United States that were held in February. The United States had challenged China’s Special Fund for Wind Power Equipment Manufacturing (Special Fund) subsidies at the World Trade Organization (WTO) in response to a petition filed by the United Steelworkers. The subsidies took the form of grants to Chinese wind turbine manufacturers that agreed to use key parts and components made in China rather than purchasing imports. The United States estimated that the grants provided to Chinese companies since 2008 could have totaled several hundred million dollars. This is the third time that China has agreed to eliminate government subsidies following formal consultations at the WTO.

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