China Accuses India of Violating International Trade Rules

Beijing files WTO complaint against India over solar and ICT trade measures

Tue Dec 23 2025
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GENEVA, Switzerland: China has accused India of violating international trade rules by imposing tariffs on information and communications technology (ICT) products and granting subsidies to its solar sector, the World Trade Organization (WTO) said Tuesday.

Beijing has lodged a complaint with the WTO against India, challenging New Delhi’s tariffs on ICT products and subsidies for its solar sector, the global trade body said.

According to China’s Ministry of Commerce, India’s measures “give India’s domestic industries an unfair competitive advantage, harm Chinese interests,” and violate WTO rules.

The complaint, submitted on December 19, requests dispute consultations with India, aiming to resolve the matter before moving to formal litigation, WTO stated.

Violations of trade rules

China’s complaint targets tariffs imposed by India on ICT products and certain subsidies for the photovoltaic sector.

The Chinese ministry said the Indian measures are breaching WTO obligations, including binding tariff commitments, national treatment principles, and prohibitions on import substitution subsidies.

“These measures give India’s domestic industries an unfair competitive advantage and harm China’s interests,” a Chinese commerce ministry spokesperson said at a briefing.

The ministry described the complaint as a “firm step” to safeguard the “legitimate” rights of Chinese industries.

The WTO explained that China’s request cites India’s tariff treatment and measures contingent on the use of domestic inputs, which allegedly discriminate against Chinese imports.

Beijing also claims that the Indian policies violate the General Agreement on Tariffs and Trade (GATT) 1994, the Agreement on Subsidies and Countervailing Measures, and the Agreement on Trade-Related Investment Measures.

Trade disputes

This case follows a separate WTO complaint China filed in October against India’s state subsidies for electric vehicle and battery production.

Less than a week ago, India imposed anti-dumping duties on cold-rolled steel imports from China for five years to protect its domestic industry.

The WTO said consultations provide an opportunity for China and India to discuss the dispute and seek a solution without proceeding to formal adjudication.

If no resolution is reached within 60 days, China may request the formation of a panel to adjudicate the case.

Beijing urged New Delhi to “abide by its relevant commitments at the WTO and immediately correct its erroneous practices,” the commerce ministry spokesperson added.

China is the second-largest trading partner of India.

In the last fiscal, India’s exports to China contracted 14.5 percent to USD 14.25 billion against USD 16.66 billion in 2023-24.

The imports, however, rose by 11.52 percent to USD 113.45 billion from USD 101.73 billion, according to Rediff.

India’s trade deficit with China widened to USD 99.2 billion during 2024-25.

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