I see so many recipes in books, articles and online, referring to the ingredient “chili powder”. With many recipes this can cause a lot of confusion. If you added “chili powder” from the grocery spice shelf to an Asian or Indian recipe, you could destroy what might have been a delicious meal.• The term “chile” (New World Spanish) refers to the plant or the fruit from the plant and its product, such as “chile powder” or “chile flakes”.• The sauce made of chiles – is "chile sauce", "chile colorado", "chile verde", "chile rojo" etc.• In the US, the the term “chili”, generally refers to a culinary dish consisting of meat and/or beans, onions, tomatoes and seasoned with “chili powder”, which is a basic blend of chiles, paprika, cumin, oregano and salt). So be a smart buyer while chili/chile shopping.Here and outside of the South and North Americas, it appears that anything goes: (chilie, chilli, chillie........). Whatever works for them.
Since "chiles" originated in the New World, I prefer to default with CHILE.