Trade War Continues – China Hits U.S. Solar Material Suppliers with Final Anti-Dumping and Anti-Subsidy Duties

22 January 2014 Renewable Energy Outlook Blog
Authors: Jeffery R. Atkin

In a move viewed by many as retaliation against the U.S. for the anti-dumping and countervailing duties assessed by the U.S. against Chinese solar panels, China recently finalized its anti-dumping duties on imports into China of solar polysilicon from the U.S. and South Korea. These duties could be a significant blow to U.S. solar-grade polysilicon manufacturers.

The U.S. and South Korea were two of the larger exporters of solar-grade polysilicon into China. Solar-grade polysilicon is one of the primary raw materials for solar panels. Interesting, the U.S. solar market in turn is one of the largest markets for solar panels from China. As a result of the current trade war, U.S. solar projects effectively may now end up paying multiple levels of anti-dumping tariffs.

Duties on U.S. imports were set at up to 57% and duties on South Korean imports in a range between 2.4 to 12.3%. These duties are in line with the initial duties set by China last year. Similar to anti-dumping duties imposed by the U.S., China’s duties will be effective for five years.

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