A bipartisan group of U.S. lawmakers introduced legislation on Wednesday to prevent Chinese solar panel manufacturers from claiming subsidies for their American factories.
The American Tax Dollars for American Solar Manufacturing Act comes as major Chinese solar panel producers establish facilities in the United States, supported by tax credits from President Joe Biden's 2022 Inflation Reduction Act.
The Biden administration aims to boost investment in clean energy to create U.S. jobs but seeks to avoid over-reliance on China, a geopolitical rival. U.S. solar equipment manufacturers have expressed concerns about competing with an influx of inexpensive imports and China's dominant position in the global market.
“We cannot allow American tax dollars to go to Chinese companies that cheat and undermine American solar manufacturing,” said Senator Sherrod Brown, a Democrat from Ohio, in a statement.
The bill is co-sponsored by Democratic Senator Jon Ossoff of Georgia and Republican Senators Rick Scott of Florida and Bill Cassidy of Louisiana.
