The US has constantly criticized the industrial subsidy policies of other nations in various ways, and therefore, the country should clarify how their position has altered
In an important gathering at the World Trade Organisation (WTO), India has grumbled over US’s recently unleashed $280 billion semiconductor programme, according to some reports of the global media. At the recent trade policy review of the USA, the government of India highlighted the issue and demanded clarifications from America on their aspiring Science and CHIPS Act.
According to the media, India questioned “This (Chips Act) puts more competitive manufacturers globally at a distinct disadvantage. What steps are proposed to be taken to create an even playing field for global manufacturers in these areas, especially from the developing world?” In retaliation, America refuted this charge. Along with India, China also said that over the years, the US has constantly criticized the industrial subsidy policies of other nations in various ways, and therefore, the country should clarify how their position has altered.
The US reverted to the statement of China and said that they are aiming to monitor the act in accordance with the US laws and its commitments to the WTO. In the past few years, various countries have witnessed that they must have self-reliance in the semiconductor industry to which various schemes have been unleashed to craft a solid in-house semiconductor industry.
Now, under the framework of India-US commercial dialogue, both the countries have signed an MoU to build a strong semiconductor supply chain and association in innovation. According to experts, the MoU is looking forward to form a collective mechanism between the two countries on the resiliency of the semiconductor supply chain and diversification in view of US’s CHIPS and Science Act and India’s Semiconductor Mission.
According to a report of the Business Standard, the commerce department told the media, “It aims to leverage complementary strengths of both countries and facilitate commercial opportunities and development of semiconductor innovation ecosystems through discussions on various aspects of the semiconductor value chain. The MoU envisages mutually beneficial R&D, talent and skill development.”
