India has raised objections to America’s $280 billion ‘Chip for America’ program. India claims that this violates provisions of the World Trade Organization (WTO) and will harm the competitiveness of manufacturing.
New Delhi recently raised this question during the US trade policy review and asked the US to clarify on the CHIPS Act.
India said, ‘It (chip act) will put global competitive manufacturers out of profit. Taking the proposed steps will leave people in the developing world with no equal working conditions in this area.
China has also objected to this. Beijing said, ‘China has noticed that the US has been continuously criticizing the subsidy policies of other members on various occasions for many years. It should be clarified whether this long-standing stand of America has changed. However, the US has denied the allegations.
In response, the US said that it is acting according to US commitments and US law under the WTO agreements.
He said, ‘The US disagrees with the interpretation of this question. Like other WTO members, the US also supports trade by following WTO agreements. The US is willing to administer the terms of the 2 mentioned Acts in a manner that is consistent with the World Trade Agreements and US laws and commitments.’
