Aug 29 (Reuters) - The U.S. International Trade

Commission voted on Friday to proceed with an investigation into

whether solar panels from India, Laos and Indonesia are stifling

domestic manufacturing, a key procedural step that could result

in tariffs on those imports.

WHY IT'S IMPORTANT

The unanimous decision by the three-member panel is a victory

for domestic solar manufacturers who say Chinese companies with

operations in those countries receive unfair government

subsidies and are selling their products below the cost of

production in the United States. U.S. producers are seeking to

protect billions of dollars of investment in American factories.

KEY QUOTE

"Today's ITC decision confirms what our petitions allege: U.S.

solar manufacturers are being undercut and harmed by unfairly

traded imports. Chinese-owned and other companies in Laos,

Indonesia, and India are gaming the system with unfair practices

that are gutting U.S. jobs and investment," said Tim Brightbill,

lead counsel to the Alliance for American Solar Manufacturing

and Trade and partner at Wiley Rein LLP.

CONTEXT

The case was brought in July by the alliance, a coalition of

U.S. solar manufacturers including First Solar ( FSLR ) and

Hanwha's Qcells.

Imports from India, Indonesia, and Laos surged to $1.6 billion

last year, up from $289 million in 2022, according to the group.

Many of these imports are believed to have shifted from

countries already subject to U.S. tariffs on Southeast Asian

solar exports.

WHAT'S NEXT

The U.S. Department of Commerce will continue investigations

into the imports, with preliminary determinations on

countervailing, or anti-subsidy, duties expected around Oct. 10

and on antidumping duties around Dec. 24.