The Department of Commerce announced its affirmative preliminary determination in the CVD investigation of imports of certain crystalline silicon photovoltaic products (including cells, modules, laminates and/or panels) from China. Commerce currently has existing antidumping duty (AD) and CVD orders on crystalline silicon photovoltaic cells, whether or not assembled into modules, from China. The scope of this investigation specifically excludes those products covered by the existing AD and CVD orders. Crystalline silicon photovoltaic cells typically form the basic element of solar panels, modules, and/or laminates but can be used in other products as well, including building-integrated materials.
Commerce preliminarily determined that producers/exporters in China received countervailable subsidies ranging from 18.56 to 35.21%.
SEIA has released the following statement:
Today’s decision by the U.S. Department of Commerce to impose new tariffs on solar modules from China threatens to derail the rapid growth of the U.S. solar industry, according to the Solar Energy Industries Association (SEIA). Commerce will immediately impose countervailing duty tariffs ranging from 18.56 to 35.21 percent. Equally troubling, Commerce issued a broad preliminary scope decision, although the Department indicated that it will continue to review comments on this issue. After reviewing the decision, SEIA President and CEO Rhone Resch released the following statement:
“These damaging tariffs will increase costs for U.S. solar consumers and, in turn, slow the adoption of solar within the United States. Ironically, the tariffs may provide little to no direct benefit to the sole petitioner SolarWorld, as we saw in the 2012 investigations. It’s time to end this needless litigation with a negotiated solution that addresses SolarWorld’s trade allegations while ensuring the continued growth of the U.S. solar market.
“Over the past few months, SEIA has facilitated settlement discussions between Chinese solar manufacturers and SolarWorld. The goal of these discussions is to develop an industry recommendation to help jump-start government-to-government negotiations. Although we’ve succeeded in establishing direct communications between the parties—and are working with all segments of the industry to find a consensus solution—we’re quickly running out of time.
“It’s time to get serious about resolving this ongoing dispute, before irreparable damage is done to the U.S. solar industry. We’re strongly urging all parties to set aside their grievances; redouble efforts to find a solution that benefits all segments of the industry; and end this potentially costly and divisive conflict.”
Other Key Facts Include:
On June 3, 2014, the Department of Commerce (Commerce) announced its affirmative preliminary
determination in the countervailing duty (CVD) investigation of imports of certain crystalline silicon
photovoltaic products from the People’s Republic of China (China).
• The CVD law provides U.S. business and workers with a transparent and internationally approved
mechanism to seek relief from the market distorting effects caused by injurious subsidization of
imports into the United States, establishing an opportunity to compete on a level playing field.
• For the purpose of CVD investigations, countervailable subsidies are financial assistance from
foreign governments that benefit the production of goods from foreign companies and are limited to
specific enterprises or industries, or are contingent either upon export performance or upon the use of
domestic goods over imported goods.
• Commerce calculated a preliminary subsidy rate of 18.56 percent for mandatory respondent
Changzhou Trina Solar Energy Co., Ltd., which includes Trina Solar (Changzhou) Science &
Technology Co., Ltd. Mandatory respondent Wuxi Suntech Power Co., Ltd. and five of its affiliates
(see preliminary subsidy rates chart) received a preliminary subsidy rate of 35.21. All other
producers/exporters in China have been assigned a preliminary subsidy rate of 26.89 percent.
• Because the Government of China failed to respond completely to certain questions, we applied
adverse facts available in determining that certain subsidy programs were countervailable.
• As a result of the preliminary affirmative determination, Commerce will instruct U.S. Customs and
Border Protection to require cash deposits based on these preliminary rates.
• The petitioner for this investigation is SolarWorld Industries America Inc.
Next Steps Include
• Commerce is scheduled to announce its final determination in this investigation on or about
August 18, 2014, unless the statutory deadline is extended.
• If Commerce makes an affirmative final determination, and the U.S. International Trade Commission
(ITC) makes an affirmative final determination that imports of certain crystalline silicon photovoltaic
products from China materially injure, or threaten material injury to, the domestic industry,
Commerce will issue a CVD order. If either Commerce’s or the ITC’s final determination is
negative, no CVD order will be issued. The ITC is scheduled to make its final injury determination
approximately 45 days after Commerce issues its final determination, if affirmative.