Asia’s manufacturers, suppliers could be unlikely winners of landmark US climate bill
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Wong Pei Ting
ASIA’S clean-energy industry, including players in Asean, could emerge as unlikely winners of the US$430 billion US climate and tax bill despite the inclusion of protectionist language, analysts told The Business Times.
The new legislation, signed into law on Tuesday (Aug 16), arrives amid an intensifying rivalry between the US and China around green technologies. Reflecting that tension, the bill includes components such as incentives for electric vehicle (EV) manufacturers to move away from sourcing critical minerals from a “foreign entity of concern”, which includes China and Russia.
Bank of Singapore’s head of investment strategy Eli Lee said this and other new rules would not only push entities in the US and its European allies to diversify their supply chains away from China, it would move Chinese companies to seek new markets and production bases.
