U.S. Challenges India’s Solar Export Limits

The U.S. filed a complaint last week with the World Trade Organization (WTO) that challenges the domestic content requirements in India’s solar program. The Indian government initiative aims to greatly expand that country’s solar power generation capacity. But requiring Indian solar developers to exclusively use locally made equipment discriminates against U.S. companies that want to compete in the fast-growing Indian market, according to U.S. Trade Representative Michael Froman. India contends that its solar policies are legal under WTO government procurement rules. “India has to create domestic manufacturing capacities. Otherwise, we will end up importing for the rest of our lives,” Commerce & Industry Minister Anand Sharma says. The U.S. notes that India expanded its domestic content rules in October to cover thin-film technology, which makes up the majority of U.S. solar product exports to India. The Obama Administration has come under increasing pressure from Congress and business groups to challenge India’s alleged protectionist trade policies.