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Malaysia, Cambodia, Vietnam, Thailand imports at issue
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Most solar panels installed in the US are made overseas
Nov 29 (Reuters) - U.S. trade officials are expected to
announce on Friday a new round of tariffs on solar panel imports
from four Southeast Asian nations after American manufacturers
complained that companies there are flooding the market with
unfairly cheap goods.
It is the second of two preliminary decisions that President Joe
Biden's Commerce Department is making this year in a trade case
brought by Korea's Hanwha Qcells, Arizona-based
First Solar Inc ( FSLR ) and several smaller producers seeking
to protect billions of dollars in investments in U.S. solar
manufacturing.
This is the latest chapter in a more than decade-long trade war
with Chinese companies over their solar dominance. Chinese
manufacturers have responded to U.S. solar tariffs by moving
their massive operations to nations where they will not face
duties - including Southeast Asia.
The group, the American Alliance for Solar Manufacturing
Trade Committee, accused big Chinese solar panel makers with
factories in Malaysia, Cambodia, Vietnam and Thailand of causing
global prices to collapse by dumping products into the market.
The Hanwha-led group has sought antidumping duty rates of
between 70.35% and 271.45%, depending on the country, to offset
the unfair pricing. It also has sought tariffs to combat unfair
subsidies in those nations, and the Commerce Department imposed
preliminary antisubsidy duties last month.
Most solar panels installed in the United States are made
overseas, and some 80% of imports come from the four nations
targeted in the Commerce Department probe.
Tariffs would increase prices for companies that import
panels to install on rooftops or build solar power plants, but
the United States over more than a decade has shown a
willingness to impose duties on the sector in a bid to bolster
the small U.S. clean energy manufacturing industry.
The Biden administration this year raised the alarm over China's
massive investment in factory capacity for clean energy goods.
Biden's landmark climate change law, the Inflation Reduction
Act, includes incentives for companies that produce clean energy
equipment in the United States - a subsidy that has prompted a
flurry of plans for new solar factories.
President-elect Donald Trump has called the Inflation Reduction
Act too expensive, but also has said he plans to slap hefty
tariffs on a range of sectors to protect American workers.
Dumping occurs when a company sells a product in the United
States at a price below its cost of production or lower than
what it charges in its home country.