China Ready To Take Action Against USA’s Inflation Reduction Act

China Ready To Take Action Against USA’s Inflation Reduction Act



Similarly, a spokesperson for the European Commission said that the European Union would “take the necessary steps to defend its interests.” Chinese ambassador to the US Qin Gang has also expressed that the Act could be bad for both nations, as the interests of each are “intertwined,” adding that “the electric vehicle value chain, or specifically the supply chain, is very globalized.” For example, the BMW i4 uses batteries from CATL, a Chinese company, and Samsung SDI, a South Korean corporation.Clearly, China’s feelings on the matter are not meant to invoke violence. China, the EU, Japan, and South Korea are not looking for some sort of trade Cold War. They simply want the US to realize that it is officially part of a global community and the World Trade Organization’s members are forbidden from applying tax codes “to imported or domestic products so as to afford protection to domestic production,” as per an excerpt from a multilateral trading agreement document that the US has signed.