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The European Commission has raised concerns with the United States that its tax incentives for electric cars could violate WTO rules, EU trade commissioner Valdis Dombrovskis said.

“We agreed our teams are going more in depth,” he said on the sidelines of a G7 trade ministers meeting in Germany on Thursday.

The Wall Street Journal reported on Wednesday that the electric carmaker Tesla TSLA-Q was suspending plans to produce battery cells in Germany as it looked to qualify for electric vehicle and battery manufacturing tax breaks in the U.S.

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