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Friday, January 17, 2025

Lawmakers reintroduce bill barring CCP-linked firms from US energy tax credits

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Darin LaHood U.S. House of Representatives from Illinois | Official U.S. House Headshot

Darin LaHood U.S. House of Representatives from Illinois | Official U.S. House Headshot

Congressman Darin LaHood, alongside Chairman John Moolenaar, Congressman Jared Golden, and Senator Rick Scott, has reintroduced the bipartisan No Official Giveaways of Taxpayers’ Income to Oppressive Nations (NO GOTION) Act. This legislation aims to prevent companies linked to the Chinese Communist Party (CCP) from receiving green energy production tax credits established by the Biden-Harris administration under the Inflation Reduction Act (IRA). The bill seeks to bar companies based in China, Russia, Iran, or North Korea from benefiting from these tax incentives.

"The Chinese Communist Party is working to replace the United States every day," stated Rep. LaHood. He emphasized his commitment to ensuring that "hard-working American taxpayers" do not fund CCP-affiliated competitors through federal tax incentives. LaHood expressed his intent to work with President Trump and Congress members on policies that support American businesses and protect national security.

Chairman Moolenaar described the NO GOTION Act as a "commonsense, bipartisan measure" aimed at preventing adversaries from benefiting from U.S. taxpayer dollars. He noted a loophole in current regulations that allows IRA tax credits for Chinese companies and stressed that this legislation would close it.

Golden highlighted the importance of domestic manufacturing credits in strengthening the U.S. economy and called for closing loopholes that benefit adversarial nations like China and others. "I’m proud to join a bipartisan coalition to fix this problem," he said.

Senator Rick Scott added that U.S. adversaries should not profit from American taxpayer incentives intended for domestic business growth. He voiced pride in supporting the NO GOTION Act as a means of preventing foreign-owned companies from exploiting U.S. tax subsidies.

The introduction of this act follows plans by Gotion Inc., a subsidiary of CCP-affiliated Gotion High-Tech, to establish battery factories in Illinois and Michigan—projects likely eligible for IRA tax credits. In past discussions, community stakeholders raised concerns about Gotion Inc.'s ties to CCP activities and its potential threat to national security.

The legislative text is cosponsored by several representatives across different states who share concerns over foreign influence on American economic initiatives.

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