China's Ministry of Commerce spokesperson He Yongqian Photo: Yin Yeping/GT

When asked by the media about report that China's case against the US Inflation Reduction Act in the WTO dispute settlement mechanism is currently under panel review, and the measures related to new energy vehicle subsidies involved in the case were terminated by the US One Big Beautiful Bill Act on September 30, He Yongqian, a spokesperson of the Ministry of Commerce (MOFCOM) said on Thursday that the ministry has taken note that the subsidies for new energy vehicles under the US Inflation Reduction Act were terminated on September 30. 

These subsidies, which were contingent on the use of products from specific regions such as the US, discriminated against products from China and other WTO members and constituted a serious violation of WTO rules. They represented a trade-protectionist approach that abused subsidy policies. China had previously challenged these measures at the WTO. Regarding the termination of this subsidy program by the US, Chinese side views it as a correct step for the US to rectify its own mistake, according to He. 

He also said the ministry has also noted that the US has not terminated other non-compliant measures, such as the clean energy subsidies involved in China's WTO dispute against the US Inflation Reduction Act. In this regard, China will continue to pursue the litigation in accordance with WTO rules, resolutely defend the legitimate interests of domestic industries, and firmly uphold the rules-based multilateral trading system. 

"We look forward to a fair ruling by the WTO panel," He said.

Global Times