China Launches Fresh WTO Challenge Against India's Telecom Tariffs and Solar Subsidies

China has intensified its trade tensions with India by filing a new complaint at the World Trade Organization (WTO), targeting New Delhi's tariffs on information and communications technology (ICT) products and subsidies in the photovoltaic (solar) manufacturing sector.

The Chinese Ministry of Commerce announced on Friday that it had formally requested consultations with India, marking the initial phase of the WTO dispute settlement process.

Beijing contends that these Indian measures infringe on several WTO rules, including commitments on bound tariffs and the national treatment principle, which requires equal treatment for domestic and foreign products.

China further alleges that the policies function as prohibited import-substitution subsidies, providing undue advantages to Indian manufacturers while disadvantaging overseas suppliers, particularly from China, a leading exporter of telecom equipment and solar panels.

Describing the action as "another resolute measure to protect the legitimate rights and interests of Chinese industries," the ministry highlighted that this follows an earlier WTO dispute initiated against India's incentives for electric vehicles and batteries.

China has called on India to comply with its WTO obligations and "promptly rectify these erroneous practices."

The consultation phase allows up to 60 days for bilateral negotiations. Should no agreement be reached, China may proceed to request the formation of a formal dispute panel.

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