U.S. Will Place Tariffs on Chinese Solar Panels

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The New York Times
Thursday, October 11, 2012

U.S. Will Place Tariffs on Chinese Solar Panels

By DIANE CARDWELL and KEITH BRADSHER

The Commerce Department issued its final ruling Wednesday in a long-simmering trade dispute with China, imposing tariffs ranging from about 24 to nearly 36 percent on most solar panels imported from the country.

The penalties are somewhat lower than those announced by the department earlier this year, when the government determined that Chinese companies were benefiting from unfair government subsidies and were selling their products in the United States below the cost of production, a practice known as dumping.

For one of the biggest panel makers, Suntech, the duties are slightly higher, moving to almost 36 percent from about 34 percent.

The trade case stemmed from a legal filing nearly a year ago by a coalition of manufacturers, led by SolarWorld, a German company with considerable manufacturing in the United States. The coalition contended that Chinese companies, which dominate global sales with a two-thirds market share, were competing unfairly in the American market.

“This is another important step in returning the solar marketplace in the United States to fair competition,” said Timothy C. Brightbill, a lawyer representing the companies that brought the case.

At the same time, Mr. Brightbill said, he was concerned that the Commerce Department did not expand the scope of the ruling, which applies to panels made up of Chinese-produced solar cells. That has allowed companies to sidestep the duties by assembling panels composed of cells produced elsewhere, even if their components come from China. “We are looking to the administration for an explanation on how they will close or address this loophole in the scope.”

The Chinese government had no immediate response to the decision, which was issued in the early hours of the morning Beijing time.

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