WTO to examine US solar trade spat with India

 Terra India : Gujarat solar park at Charanka village of Patan district

Washington on Friday took its battle to get India to open its solar market a step further, demanding that the World Trade Organisation (WTO) create a panel to review the dispute.

The United States told the World Trade Organisation’s dispute settlement board that consultations with India had gone nowhere, insisting the global body step in.

Washington maintains New Delhi’s requirement that only locally made products be used in its solar industry impedes competition.

India, which has some of the world’s most ambitious plans for expanding solar power, expressed disappointment at the move, saying that “the United States has chosen to litigate rather than negotiate.”

Friday marked the second time the United States has asked the WTO to set up a panel of experts to review the dispute.

India blocked the first request, but the WTO, which polices global trade accords in an effort to offer its 159 member economies a level playing field, is required to grant any panel request made a second time.

In its statement to the WTO, the United States said that it had repeatedly tried to resolve the problem, but to no avail.

“Not only did these consultations fail to resolve the dispute, but India actually chose to expand the scope of the domestic requirements following initial consultations in 2013,” it said.

It insisted that such requirements were “inconsistent with WTO obligations and do not promote solar power.”

India, whose solar industry has grown rapidly in the past few years as the government looks to ease reliance on imported fossil fuels and coal, has meanwhile defended its solar policies as compliant with WTO regulations and stressed that a number states in the US have similar rules.

On Friday, it insisted it had “participated in the consultations with an open mind and had shown willingness to explore all options for a mutually satisfactory solution.”

WTO panels are in general composed of three people tasked with investigating complaints and providing recommendations to resolve the dispute.

In principle the investigating panel has six months to deliver its findings, and can authorise retaliatory trade measures by the wronged party.







Source : Channel News Asia | May 24, 2014


About thomasdinnocenzi

Thomas D’Innocenzi is a highly accomplished, results-focused international consultant with extensive experience in global sourcing and business development worldwide to meet evolving business needs. Tom has proven ability in implementing and managing profitable global marketing and sourcing operations. He has extensive experience in international business development to accommodate rapid growth. Skilled in building top-performing teams, bench-marking performance, and developing organizations to improve efficiency, productivity, and profitability. Experienced transition leader and change agent. Tom founded Nova Advisors with the mission of providing expert Global Business Development consulting services for companies seeking to expand their market share as an independent consultant. Tom has a network of experts and advisors throughout the Asia-Pacific region and North America. His expertise includes business development, global sourcing, manufacturing, commodities, logistics, QA/QC, FDA, regulatory compliance, sustainability, and supply chain optimization. Tom is experienced in the medical device, apparel, consumer goods and technology services verticals helping companies advance their global sourcing capabilities and develop new markets through a local and sustained approach. Located in SE Asia and the United States, Tom expands market reach to drive sales. His global sourcing strategy includes directly negotiating with commodity suppliers, supply chain networks and distributors for optimal terms based on his expertise and first-hand knowledge of the players. Contact Tom to use his consulting service to increase your global market and make global sourcing profitable for you in the Asia Pacific Region and the United States. http://www.NovaAdvisors.com thomas@NovaAdvisors.com USA Direct: +1.904.479.3600 SINGAPORE: +65.6818.6396 THAILAND: +662.207.9269
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