The US Division of Commerce has discovered that imports of some PV cells and modules produced in 4 Southeast Asian international locations are circumventing antidumping obligation and countervailing obligation (AD/CVD) orders on photo voltaic cells and modules from China.
In its much-anticipated preliminary willpower revealed immediately, Commerce discovered that photo voltaic corporations are trying to bypass US duties by doing minor processing in Cambodia, Thailand, Malaysia and Vietnam earlier than transport merchandise to the US.
Commerce stated the preliminary willpower underscores its dedication to holding China accountable “for its trade-distorting actions”.
The US sources 80% of its imported photo voltaic modules from these 4 international locations, in keeping with commerce physique American Clear Energy Affiliation.
Whereas greater than 20 corporations had been discovered to be evading the tariffs, Commerce dominated that 4 haven’t circumvented them: New East Photo voltaic (Cambodia), Hanwha Qcells (Malaysia), JinkoSolar (Malaysia) and Boviet Photo voltaic Expertise (Vietnam).
“The one excellent news right here is that Commerce didn’t goal all imports from the topic international locations,” stated Abigail Ross Hopper, CEO of commerce physique the Photo voltaic Vitality Industries Affiliation, in response to Commerce’s preliminary willpower. “Nonetheless, this choice will strand billions of {dollars}’ value of American clear power investments.”
The probe stems from a petition made earlier this yr from California-based module producer Auxin Photo voltaic. Following Commerce’s transfer to proceed with the investigation, imports of photo voltaic cells and modules from the 4 Southeast Asian international locations plummeted as a result of risk of retroactive tariffs.
With US photo voltaic deployment forecasts being slashed in consequence, President Joe Biden declared in June a two-year freeze on new tariffs on photo voltaic imports from Southeast Asia
Ross Hopper stated: “Whereas President Biden was clever to offer a two-year window earlier than the tariff implementation, that window is rapidly closing, and two years is just not sufficient time to ascertain manufacturing provide chains that may meet US photo voltaic demand.”
Commerce’s remaining willpower is scheduled for 1 Might 2023. Unbiased of that call, Biden’s proclamation implies that duties won’t be collected on any photo voltaic module and cell imports from the 4 Southeast Asian international locations till June 2024.
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