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China in WTO over India's PLI schemes

The Free Press Journal

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October 22, 2025

China has alleged that certain conditions in India's Production Linked Incentive (PLI) schemes for advanced chemistry cell battery, automobiles and the policy to boost manufacturing of electric vehicles violate global trade rules, and has filed a complaint at the WTO.

A WTO statement said China has sought consultations with India on these issues under dispute settlement mechanism. Beijing said India's policies stress on the use of domestic items and discriminate against Chinese goods.

These measures appear to be inconsistent with India's obligations under the SCM (Subsidies and Countervailing Measures) Agreement, the GATT (General Agreement on Tariffs and Trade) 1994 and the TRIMS (Trade-Related Investment Measures) Agreement.

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