Commerce reveals final tariff amounts on Southeast Asian solar imports

The U.S. Dept. of Commerce immediately launched its closing tariff quantities on photo voltaic cells (whether or not or not assembled into modules) from Cambodia, Malaysia, Thailand and Vietnam. The tariffs would go into impact after and provided that the U.S. Worldwide Commerce Fee makes a closing dedication (round Might 20) that the home panel manufacturing business was harmed by dumped and backed imports from the Southeast Asian international locations. The ITC already preliminarily decided within the affirmative on this anti-dumping/countervailing obligation (AD/CVD) case, so it’s doubtless the ultimate choice will comply with swimsuit.

The ultimate tariff quantities are much like/barely increased than the preliminary quantities, aside from the CVD price for Cambodia which jumped from 729% to three,400%.

The final tariff amounts are under. Some percentages had been initially listed on the Commerce web site incorrectly, and Photo voltaic Energy World will replace closing tariff totals if issues change.

Cambodia

Malaysia

Thailand

Vietnam

Commerce has been figuring out tariff quantities for the final 12 months. A gaggle of U.S. producers, calling themselves the American Alliance for Photo voltaic Manufacturing Commerce Committee, first filed the AD/CVD petition in April 2024, claiming that primarily Chinese language photo voltaic firms had been working in Southeast Asia to keep away from paying current tariffs on Chinese language items. The group stated the Chinese language firms had been backed by the 4 international locations’ governments (and certain the Chinese language authorities) to work in Southeast Asia after which had been dumping merchandise into the U.S. market at costs through which home producers couldn’t compete.

The ITC did preliminarily determine that the Southeast Asian photo voltaic imports had been harming the home business, and Commerce revealed its preliminary CVD quantities in September and its preliminary AD quantities in November. Customs and Border Safety (CBP) has been gathering obligation deposits primarily based on these preliminary quantities and can swap to the ultimate tariff quantities as soon as ordered by Commerce.

Notes from the ITC’s closing listening to

The ITC held a nine-hour public listening to final week to gain insights into the potential hurt skilled by the home business on this AD/CVD case. Testifying on behalf of the home business, the American Alliance for Photo voltaic Manufacturing Commerce Committee was represented by legislation agency Wiley Rein LLP; photo voltaic cell producers Talon PV and Suniva; and panel producers Mission Photo voltaic and Qcells. Witnesses on the other aspect included commerce associations American Clear Energy Affiliation (ACP) and Photo voltaic Power Industries Affiliation (SEIA); producers BYD, Canadian Photo voltaic, Runergy and Trina Photo voltaic; and funding analysis group Clear Power Associates.

The petitioners largely talked about how troublesome it nonetheless is to fabricate in the US, even with the incentives provided within the Inflation Discount Act. Representatives from Qcells said the business once more appears like 2011 when dumped product from China actually began affecting the U.S. business. Southeast Asian imports are promoting at pricing cheaper than home producers can produce, even with the per-watt incentives from the IRA. Home panel assemblers are additionally not producing close to their capability, they stated, which proves they’re broken by the Southeast Asian imports.

“There’s been an unprecedented quantity of funding in new cell and module manufacturing right here in the US, because of the Inflation Discount Act. You must have commerce enforcement to go together with funding or the probabilities of success are most unlikely if you’re going towards Chinese language-owned and -controlled firms that dominate and actually monopolize the photo voltaic provide chain,” stated Timothy Brightbill, associate at Wiley Rein LLP and lead lawyer for the Alliance. “We do assume the restoration is underway, however the imports from these 4 international locations, after they’re coming in at such low worth ranges, are injuring these investments, and they’re threatening this restoration that we hope to succeed.”

The respondents didn’t deny that Southeast Asian imports are coming in cheaper. They principally requested that silicon cells and closing panels not be thought of “like product” and as an alternative are checked out individually. It might be an necessary distinction for the testifying respondents (Canadian Photo voltaic, Runergy, Trina Photo voltaic), which have American module meeting crops and would wish to import their very own photo voltaic cells made in Southeast Asia with out tariffs. The ITC has already addressed the “like product” query 4 occasions in photo voltaic circumstances during the last 15 years, finally deciding that cells and panels can be checked out as the identical. Altering that outlook now can be a authorized problem. Moreover, immediately’s choice from Commerce on tariff quantities thought of cells and panels to be like-products, and the tariffs might be imposed on each merchandise on the identical charges. If the ITC does determine subsequent month to deal with the 2 merchandise individually, Commerce would calculate new tariffs at a later date.

The ITC is predicted to disclose its closing dedication round Might 20.