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China Challenges India’s EV, Auto and Battery Incentives at WTO

The case opens a 60-day consultations window before China can seek a panel.

Overview

  • WTO members were notified on Oct. 20 after China sought consultations with India on Oct. 15.
  • The challenge targets India’s PLI for automobiles and components, the ACC battery storage programme, and the 2024 scheme to promote manufacturing of electric passenger cars.
  • China claims domestic value‑addition and local input conditions make the incentives import‑substituting and discriminatory, breaching the SCM Agreement, TRIMs and GATT 1994.
  • India’s commerce ministry says it will review China’s detailed submission, with Commerce Secretary Rajesh Agrawal indicating the government will examine the case ahead of talks.
  • If consultations do not resolve the dispute within 60 days, China can request a panel, though the WTO appellate body’s dysfunction clouds the path to a final ruling.