ENA Global 2025-10-16 18:01:54 <p><span style="font-size:14px"><strong>New Delhi, Oct 16 (KNN)</strong> China has filed a formal complaint against India at the World Trade Organisation (WTO), alleging that Indias electric vehicle (EV) subsidy programs violate global trade rules. </span></p> <p><span style="font-size:14px">The move comes as Beijing accuses New Delhi of adopting policies that unfairly favour local manufacturers under the guise of promoting domestic production.</span></p> <p><span style="font-size:14px">According to Chinas submission, Indias Production-Linked Incentive (PLI) scheme for advanced chemistry cell batteries and EV manufacturing discriminates against foreign firms, amounting to prohibited import-substitution subsidies under WTO norms. </span></p> <p><span style="font-size:14px">The formal complaint marks the consultation stage &mdash; the first step before a potential full-fledged trade dispute.</span></p> <p><span style="font-size:14px">Beijings concerns are rooted in Indias growing push for self-reliance through industrial policies that closely resemble Chinas own economic model from past decades. </span></p> <p><span style="font-size:14px">These include heavy government incentives, domestic sourcing mandates, and protection of local industries to boost capacity and reduce import dependence.</span></p> <p><span style="font-size:14px">Analysts see Chinas WTO challenge as a reflection of both trade tensions and strategic rivalry. India has been seeking to position itself as a global EV manufacturing hub by offering subsidies and policy support to companies setting up local plants. </span></p> <p><span style="font-size:14px">Meanwhile, Chinese EV and battery manufacturers face increasing restrictions and scrutiny in India due to security and supply chain concerns.</span></p> <p><span style="font-size:14px">The dispute highlights the shifting balance of industrial competition between the two Asian giants. While Indias PLI scheme aims to attract global investment and strengthen its manufacturing base, Chinas reaction indicates unease with India adopting its own playbook for industrial expansion. The WTO process, however, may take months before any resolution is reached.</span></p> <p><span style="font-size:14px"><em><strong>(KNN Bureau)</strong></em></span></p> 43826 https://knnindia.co.in/news/newsdetails/global/china-red-flags-indias-pli-scheme-for-ev-at-wto 2025-10-16 18:01:54 knnindia.co.in