US imposes up to 250% tariff on Chinese solar cells

Armand2REP

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US imposes up to 250% tariff on Chinese solar cells



On May 17, the US Department of Commerce announced a preliminary verdict on antidumping rates of between 31.14%-249.96% against Chinese solar cells and components. Analysts note that the high tariffs will kill the cost advantage of Chinese photovoltaic producers, many of which may exit the market in the next three to six months.

On Oct. 19 last year, the Coalition for American Solar Manufacturing, consisting of seven US enterprises headed by Solar World, filed a complaint with the US commerce ministry and the US International Trade Commission, asking the federal government to impose tariffs of over 100% on imported solar cells made in China.

In March this year, the commerce department announced the preliminary verdict on Chinese photovoltaic products, with tariff rates ranging from 2.9%-4.73%, an unexpectedly low figure which boosted the share prices of Chinese photovoltaic firms at the time.

Now following the announcement of the antidumping duties on Thursday, the share prices of US solar energy firms jumped, including a rise of 9% for First Solar and 14% for Sun Power. The commerce department will publish the final verdict for antidumping and antisubsidy duties in early October.

Greentech Media, a professional solar energy technical website based in the United States, believes that the combination of antidumping and antisubsidy duties exceeding 35% will neutralize the cost edge of Chinese manufacturers vis-a-vis their American counterparts. However, Chinese enterprises can establish overseas factories or outsource production to Taiwanese manufacturers at costs 6%-12% higher in order to dodge the high tariffs.

CASE of the US, which consists of 25 photovoltaic firms, has objected however to the punitive duties on Chinese-made photovoltaic products, saying that free competition is conducive to the development of the US photovoltaic industry.

Charles Yonts, research director of financial services group CLSA Asia-Pacific Markets, notes that photovoltaic firms worldwide are struggling in the present economic environment. He points out that the production cost for solar cells has reached US$0.075 or even US$0.09 per watt. Some Chinese firms are selling at US$0.077 per watt, lower than production cost and that some Chinese photovoltaic firms listed in the US are in dire financial straits. He believes that in three to six months, many Chinese photovoltaic firms will go under and that the Chinese photovoltaic industry will develop normally only after two thirds of existing firms have exited the market.

US imposes up to 250% tariff on Chinese solar cells|Markets|Business|WantChinaTimes.com
 

nrj

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Hope Indian Govt will also soon approve the proposed high duty on Chinese power equipment including those cheap PVs.
 

Apollyon

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PRC was funding / subsidizing mainland Solar Cell Manufacturers, they were producing these so cheep that it was impossible to compete against.
Chinese were trying to create a Monopoly ... i say well done US .. :nod:
 

Armand2REP

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I think the Solyndra debacle finally made up his mind.
 

kickok1975

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US imposes up to 250% tariff on Chinese solar cells



On May 17, the US Department of Commerce announced a preliminary verdict on antidumping rates of between 31.14%-249.96% against Chinese solar cells and components. Analysts note that the high tariffs will kill the cost advantage of Chinese photovoltaic producers, many of which may exit the market in the next three to six months.

On Oct. 19 last year, the Coalition for American Solar Manufacturing, consisting of seven US enterprises headed by Solar World, filed a complaint with the US commerce ministry and the US International Trade Commission, asking the federal government to impose tariffs of over 100% on imported solar cells made in China.

In March this year, the commerce department announced the preliminary verdict on Chinese photovoltaic products, with tariff rates ranging from 2.9%-4.73%, an unexpectedly low figure which boosted the share prices of Chinese photovoltaic firms at the time.

Now following the announcement of the antidumping duties on Thursday, the share prices of US solar energy firms jumped, including a rise of 9% for First Solar and 14% for Sun Power. The commerce department will publish the final verdict for antidumping and antisubsidy duties in early October.

Greentech Media, a professional solar energy technical website based in the United States, believes that the combination of antidumping and antisubsidy duties exceeding 35% will neutralize the cost edge of Chinese manufacturers vis-a-vis their American counterparts. However, Chinese enterprises can establish overseas factories or outsource production to Taiwanese manufacturers at costs 6%-12% higher in order to dodge the high tariffs.

CASE of the US, which consists of 25 photovoltaic firms, has objected however to the punitive duties on Chinese-made photovoltaic products, saying that free competition is conducive to the development of the US photovoltaic industry.

Charles Yonts, research director of financial services group CLSA Asia-Pacific Markets, notes that photovoltaic firms worldwide are struggling in the present economic environment. He points out that the production cost for solar cells has reached US$0.075 or even US$0.09 per watt. Some Chinese firms are selling at US$0.077 per watt, lower than production cost and that some Chinese photovoltaic firms listed in the US are in dire financial straits. He believes that in three to six months, many Chinese photovoltaic firms will go under and that the Chinese photovoltaic industry will develop normally only after two thirds of existing firms have exited the market.

US imposes up to 250% tariff on Chinese solar cells|Markets|Business|WantChinaTimes.com
250% Tariff is just for a few small companies. Big companies like Suntech, Yingli are at 30% rate. This tariff is not done deal yet until approval by the end of the year. US market only accounts 11% of world share, not as big as you thought. Do some research before getting too excited, Armand2REP
 
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Tronic

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Why place tariffs on solar cells? It is for everyone's benefit if the Chinese can make this technology on the cheap, as they cost quite a handful! If anything, other products should be slapped with tariffs, not solar cells! Solar cells are a necessity for so many reasons.
 

badguy2000

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PRC was funding / subsidizing mainland Solar Cell Manufacturers, they were producing these so cheep that it was impossible to compete against.
Chinese were trying to create a Monopoly ... i say well done US .. :nod:
well, the biggest market of solar cell in the world is China, instead of USA...

the imposed tarrif just prove one case that USA's solar cell industry has already lag behind china so much that it can not survive without the proteciton of its government, just like flowers in greenhouses.
 
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Why place tariffs on solar cells? It is for everyone's benefit if the Chinese can make this technology on the cheap, as they cost quite a handful! If anything, other products should be slapped with tariffs, not solar cells! Solar cells are a necessity for so many reasons.
Because USA cannot compete at the prices China sells at. USA wants to atleast keep the
domestic market forget competing in exports.
 

badguy2000

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Because USA cannot compete at the prices China sells at. USA wants to atleast keep the
domestic market forget competing in exports.
more and more industries of Yankees have to survive under the protection of its government....

it just proves how Yankee's economy is losing its competitioness and becoming a loser!
 
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more and more industries of Yankees have to survive under the protection of its government....

it just proves how Yankee's economy is losing its competitioness and becoming a loser!
Unfortunately you are right. Maybe Kissinger was not so smart after all.
 

drkrn

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250% Tariff is just for a few small companies. Big companies like Suntech, Yingli are at 30% rate. This tariff is not done deal yet until approval by the end of the year. US market only accounts 11% of world share, not as big as you thought. Do some research before getting too excited, Armand2REP

is 11% share by one country small amount???
 

J20!

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Oil, gas and coal wins again and their subsidies continue. So much for g"going green". America only shouts out for green technologies when it suits them, otherwise its the big gas guzzlers they love so much. All those US companies that install solar panels can look forward to a sloooooow year. And its 31% for the big hitters who submitted for investigation, the ones who really matter.
 

Armand2REP

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more and more industries of Yankees have to survive under the protection of its government....

it just proves how Yankee's economy is losing its competitioness and becoming a loser!
Considering all of China Inc. companies survive under protection of its government and major subsidation.doesn't look good.:rolleyes:
 

badguy2000

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Considering all of China Inc. companies survive under protection of its government and major subsidation.doesn't look good.:rolleyes:
according to you logic ,after Chinese government gifted sooooo many subsidiation to CHines enterprises,
why CHinese government has sooo big a fisical surplus while USA government has such a big deficit?
 

Tronic

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according to you logic ,after Chinese government gifted sooooo many subsidiation to CHines enterprises,
why CHinese government has sooo big a fisical surplus while USA government has such a big deficit?
Because, they have been at war for more than a decade, and more importantly, they still outspend you in every field by a very large margin. Duh.
 

s002wjh

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i doubt it will get pass the senate/other department. green energy is one thing i hate to see the tariff.
 

G90

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:rofl: I still remember the days when americans and germans wanked on "green energy" and desperately to promote "green techs" and "climate change"to believe as if its their opporunties to make big bucks, only to figure out the cake have all been eaten by China laterly:rofl:

When a technologies is relatively new and the west dont enjoy a significant (50-100+ years) head-lead, then they have basically zero chance against China in R&D:cool2:
 

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