US Department of Commerce slaps tariffs on solar companies for dodging China duties

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The Department of Commerce will impose new tariffs on several Chinese solar firms after an investigation found they were attempting to circumvent existing U.S. tariffs on goods from China.

Public Ventures President and chief market strategist Lou Basenese says Chinas economic spiral is the last thing the U.S. needs right now on Varney & Co.on several solar companies that tried to circumvent existing import duties on goods from China by finishing their products in other Southeast Asian countries.

The Department of Commerce announced Friday that subsidiaries of Chinese companies BYD, Trina Solar, Vina Solar and Canadian Solar were dodging U.S. tariffs on Chinese solar cells and panels by conducting minor processing to finish their products in Cambodia, Malaysia, Thailand and Vietnam. Another firm, New East Solar, will face tariffs after refusing to cooperate with an on-site audit of its operations in Cambodia.

Tariffs on the companies that were found to be circumventing import restrictions aren’t scheduled to take effect until June 2024 to give U.S. solar importers "sufficient time to adjust supply chains and ensure that sourcing is not occurring from companies found to be violating U.S. law," the DOC said.

Several Chinese solar firms will face new tariffs next year after the Department of Commerce found they were dodging existing U.S. tariffs. The tariffs also come as a boost for U.S. solar manufacturers, which have struggled to compete with Chinese rivals for years and are receiving an infusion of investment throughThe U.S.

 

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