Certain countries of concern would be denied specific green energy tax benefits under legislation led by U.S. Reps. Darin LaHood (R-IL) and John Moolenaar (R-MI).
“Congress and the federal government should be promoting pro-growth tax policy that supports American businesses and this common-sense bill is a positive step to get us back on track,” Rep. LaHood said.
The No Official Giveaways Of Taxpayers’ Income to Oppressive Nations (NO GOTION) Act, H.R. 6175, which Rep. Moolenaar sponsored on Nov. 2 with lead original cosponsor Rep. LaHood, would prohibit companies such as those affiliated with the Chinese Communist Party (CCP), Russia, Iran, and North Korea from receiving green energy production tax credits implemented by the Biden administration in the Inflation Reduction Act (IRA).
Introduction of the bill is in response to Gotion Inc., a subsidiary of the CCP-affiliated Gotion High-Tech, which is planning to build battery factories in Illinois and Michigan that could qualify for the IRA tax credits, according to information provided by the lawmakers.
“The NO GOTION Act is a simple three-page bill that will prohibit CCP-affiliated companies, including Gotion, from receiving the federal tax dollars of hardworking American families,” said Rep. Moolenaar. “If America is going to have a secure energy supply, we cannot give federal tax credits to CCP-controlled companies and allow them to expand their influence in the U.S.
“Quite simply,” the congressman added, “the tax dollars of the American people should not be used to pad the profits of a company beholden to the CCP.”
Among the other 20 GOP original cosponsors of H.R. 6175 are U.S. Reps. Mike Bost (R-IL), Bill Huizenga (R-MI), and Michelle Steel (R-CA).
Rep. LaHood added that as a member of the U.S. House Select Committee on the CCP and the U.S. House Intelligence Committee, he has seen the malign efforts that the CCP and other foreign adversaries like Iran and Russia are engaged in to undermine America’s domestic supply chains and national security.
“Hard-working taxpayers should not be on the hook for billions in federal subsidies funneling to companies beholden to malign actors, like the CCP,” said Rep. LaHood. “It is clear that the so-called Inflation Reduction Act is being leveraged by foreign adversaries to exploit loopholes to gain generous incentives and dominate key technologies in the United States.”
H.R. 6175 has been referred for consideration to the U.S. House Ways and Means Committee.