A bipartisan group of lawmakers led by Sen. Sherrod Brown introduced a bill Wednesday that would prohibit companies with links to foreign adversaries like China from claiming the lucrative advanced manufacturing production tax credit under the Inflation Reduction Act.
The Ohio Democrat, who is locked in a tough reelection campaign, has teased since March that he would introduce a bill to tighten the tax credit amid concern from domestic manufacturers — particularly in the solar industry — that Chinese competitors could benefit from the incentive.
The bill would bar the 45X credit from going to “foreign entities of concern.” The Department of Energy last year issued an interpretation of a similar provision in the context of the IRA’s electric vehicle tax credit. It covers companies with links to the governments of China, Russia, Iran and North Korea.
Brown was joined by Sens. Bill Cassidy (R-La.), Jon Ossoff (D-Ga.) and Rick Scott (R-Fla.) on the bill.
