U.S. may put emergency tariffs on solar imports

[GennGreymane]

http://kfgo.com/news/articles/2017/m...solar-imports/

GENEVA (Reuters) - The United States has notified the other 163 members of the World Trade Organization that it is considering putting emergency "safeguard" tariffs on imported solar cells, according to a WTO filing published on Monday.

The move raises the stakes in a global battle to dominate the solar power industry, which has grown explosively in the past five years. As production has increased, prices have tumbled, favoring producers who can take advantage of economies of scale.

The United States, China and India are vying to be the market leader, and are looking out for any perceived breach of the international trade rules by their rivals.

Last September, the WTO ruled that India was illegally discriminating against U.S. solar exports, while India launched its own WTO complaint about solar subsidies in eight U.S. states.

The United States' ability to attract renewable energy investment has been tarnished by the shift in energy policy under U.S. President Donald Trump, putting China and India on top, a report by British accountancy firm Ernst & Young said earlier this month.

The U.S. decision to consider safeguard tariffs follows a petition to the U.S. International Trade Commission (ITC) by Suniva, Inc, the filing said.

Under WTO rules, such temporary tariffs may be used to shield an industry from a sudden, unforeseen and damaging surge in imports. They can be challenged by other WTO members.

The ITC will decide by Sept. 22 whether the U.S. industry has suffered "serious injury", and if that is the case it will submit its report to Trump by Nov. 13, the filing said.

Suniva's petition said the volume of imports rose by 51.6 percent between 2012 and 2016, while the value of those imports grew by 62.8 percent from $5.1 billion to $8.3 billion.

"The petition alleges that increasing imports have taken market share from domestic producers and have led to bankruptcies, plant shutdowns, layoffs, and a severe deterioration of the financial performance of the domestic industry," the U.S. filing said.

Suniva itself filed for Chapter 11 bankruptcy on April 17.

While imports have risen, U.S. producers have seen business shrivel, with 1,200 manufacturing jobs lost and a 27 percent wage decline in the four years to 2016. U.S. solar cell plants went from running at 81.7 percent of capacity in 2014 to 28.9 percent in 2016, the filing said.

"Data in the petition also indicates that (U.S. producers')domestic market share fell from 21.0 percent in 2012 to 11.0 percent in 2016, despite a $4 billion growth of the U.S. market over the same period."

[callipygoustp]

*sigh* #MAGA

[Alvito]

The US is quickly turning into the worlds villain, becoming all the things we used to fight against.

[Zecora]

The US is quickly turning into the worlds villain, becoming all the things we used to fight against.

A lot of us have viewed them as that for almost 20 years now...

[Mittens]

What's the problem?

[Ave07]

So we're going to manufacture our own solar panels?

[LMuhlen]

When the evil Chinese solar panels start threatening the green coal, something has to be done.

[Kaganfindel]

What's the problem?

It would appear that they're slapping away the Invisible Hand to prop up failing domestic industry.

[Revik]

Not really seeing the issue. US Solar are already given massive government subsidies to stay competitive. This is really no different. I guess people want Elon Musk and Solar City to go down in flames then if you feel tariffs are unwarranted.

[Cyi]

lol, people need to understand business. This will encourage domestic production of solar panels, that is all. China, India and the US are the leading manufacturers and there was clearly a large, unpredicted influx of foreign imports to the US. This simply adds a tariff to those said imports. It has nothing to do with shunning green energy. Trump ran his campaign on things like this, so to be surprised is silly. This will help the US based company compete better and encourage the use of US made products in the US industry. India tried the same thing btw, so this isn't anything new.

This is the US, looking out for the US, which what the current US President said he wanted to do.

[Svad1287]

And when the rest of the world start slapping Tarifs on US exports, Donald will have a fit and go full Twitterino, with all the sublety of a T-rex in a china store.

[Mittens]

It would appear that they're slapping away the Invisible Hand to prop up failing domestic industry.

Ehhh no. Companies petitioned an investigation. ITC is invesigating. Report will be out in Sept 22. So, its like 2 months until something relevant happens.

[Gaaz]

Speaking of solar, got myself a neat little thing to recharge my devices when I was in Sumi several years back, for situations when I am in the field and no plugs are available. It will recharge anything that can be plugged into a USB port. Coupled it with a portable power pack (to store excess charge) and unless I seriously consider weight allowance for sites where there is no transportation available, I am always set on light, phone battery and occasional pad movie or two. Not powerful enough to run a laptop though. But the ones that are, are much larger.

Not sure if solar is the way to go globally. It is way too expensive now (like x10 compared to nuclear power when you consider energy storage costs and redistribution). But portable solutions can be pretty neat.

[Cyi]

So we're going to manufacture our own solar panels?

Already are, this will just tax imported panels, thus making it cheaper to use domestically made versions. Lets not forget, our two biggest competitors, China and India, have much more relaxed legislation for both environmental and worker rights, thus making it much cheaper to produce there. The US company in question is simply saying they can't compete at that price point and wants a tariff to be placed on the imported panels, thus encouraging US produced panels to be used in the US>

[Machismo]

Yeah, more tariffs, less free trade. That's the type of small government* that conservatives love.

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Already are, this will just tax imported panels, thus making it cheaper to use domestically made versions. Lets not forget, our two biggest competitors, China and India, have much more relaxed legislation for both environmental and worker rights, thus making it much cheaper to produce there. The US company in question is simply saying they can't compete at that price point and wants a tariff to be placed on the imported panels, thus encouraging US produced panels to be used in the US>

It won't make it cheaper, it will just make imports more expensive.

[Cyi]

Something to note, this company is Chinese owned and China is doing the same thing to our imports in their country. This is literally two Chinese owned companies, trying to out business the other. Suniva was primarily purchased so the Chinese firm could say their panels were US made.

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Yeah, more tariffs, less free trade. That's the type of small government* that conservatives love.

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It won't make it cheaper, it will just make imports more expensive.

Cheaper in comparison to the foreign imported ones. Not saying it will lower costs across the board.

[Deleted]

And when the rest of the world start slapping Tarifs on US exports, Donald will have a fit and go full Twitterino, with all the sublety of a T-rex in a china store.

gl with that boy, the world needs the u.s to buy its stuff, then again your a dreamer so keep dreaming.

[Vash The Stampede]

So we're going to manufacture our own solar panels?

We're going to manufacture coal panels. When you need to heat your home just burn them. **WARNING** Not reusable and may burn your home down.

[Machismo]

Something to note, this company is Chinese owned and China is doing the same thing to our imports in their country. This is literally two Chinese owned companies, trying to out business the other. Suniva was primarily purchased so the Chinese firm could say their panels were US made.

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Cheaper in comparison to the foreign imported ones. Not saying it will lower costs across the board.

Basically, consumers are going to get punished, because conservatives don't like free trade and freedom, sad!

[Svad1287]

gl with that boy, the world needs the u.s to buy its stuff, then again your a dreamer so keep dreaming.

"We" might surprise you ;-)

Ps. Its the dreamers that gets the ideas, that changes the world around us.