China Warns US to Stop Investigating Solar Industry Practices

US Investigating Chinese Solar Industry Practices
US Investigating Chinese Solar Industry Practices

In response to a complaint lodged at the end of last year by the US unit of a German solar manufacturer, the US launched an investigation into the imports of solar power from China, sparking a strong response from the Chinese commerce ministry.

The US began investigations on Thursday into the allegations that imports of some solar products from Taiwan and China are being “dumped” onto the US market. China fears that the US investigation could negatively affect their growing solar market.

The US Department of Commerce said it will investigate whether China is selling their solar products in the US at prices below their fair value, or whether their producers are getting inappropriate amounts of foreign government subsides.

The Chinese commerce ministry wrote on their website that

“The Chinese side expresses serious concern. China urges the United States again to carefully handle the current … investigations, be prudent in taking measures and terminate the investigation proceedings.”

The ministry added that China will evaluate the impact the investigation has on its solar industry and will “resolutely defend” it via a variety of mechanisms.

The present investigation was a response to complaints by SolarWorld AG which said they wanted to close a loophole in a previous trade case which allowed Chinese solar panel manufacturers to sidestep duties by using solar cells produced in other countries, such as Taiwan.

Peter Jefferson

About Peter Jefferson

Peter Jefferson is a full-time researcher for www.businessdistrict.com, a task he took on in 2011 when the site was launched. He brings to the position a wealth of practical experience in the field of fiscal policy, having consulted with various government bodies on revenue collection, expenditure and economic growth. Contact Peter at peter[at]businessdistrict.com