Three months of deliberations has resulted in the Chinese Ministry of Commerce (MOFCOM) finding six US renewable energy initiatives guilty of flouting World Trade Organization laws. MOFCOM is dictating it will take necessary measures to force the US to cancel these initiatives in order to bring it inline with WTO statute.
MOFCOM states this results in unreasonable barriers and restrictions, reducing the competitiveness of the US renewable energy market.
The accused initiatives include one in Washington, Ohio and California’s renewable energy projects alongside two in New Jersey and Massachusetts’ Solar Rebate Project II.
The investigating authorities invited Chinese stakeholders and the public to comment on the preliminary conclusions of the investigation in May. On June 13 MOFCOM received a response from the Embassy of the United States submitted on behalf of the US Government. Of course the US has denied all accusations.
If the WTO ruled against the US, it could direct the US to make its policies conform with WTO agreements. The WTO, however, could not impose punishments or compel the US to offer restitution.