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WTO Rules U.S. Clean Energy Subsidies Violate Trade Rules

1/31/2026

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Story summary
  • The World Trade Organization ruled January 30, 2026 that U.S. clean energy subsidies under the Inflation Reduction Act violate WTO rules.
  • China's Ministry of Commerce welcomed the ruling and urged withdrawal of U.S. subsidies.
  • The WTO panel upheld China's investment and production tax credits for clean electricity.
  • The WTO panel did not address U.S. clean energy vehicle credits.
  • Those credits were eliminated by Congress in July 2025.