The US has accused China of illegally subsidizing the production of wind power equipment in yet another chapter of the ongoing spat between the two trading partners, Reuters reported. Washington said Beijing’s issuance of grants in 2008 under China’s Special Fund for Wind Power Manufacturing to support its clean energy industry was unfair to US firms trying to access China’s market. "Import substitution subsidies are particularly harmful and inherently trade distorting, which is why they are expressly prohibited under WTO rules," said US Trade Representative Ron Kirk. He said that such subsidies "effectively operate as a barrier to US exports to China." The US has asked for talks with the WTO, which kick-starts a 60-day period for the two countries to resolve the issue.
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