The American Alliance for Solar Manufacturing Trade Committee Commends ITA on Solar Countervailing Duty Preliminary Determinations – CleanTechnica

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Department of Commerce finds Preliminary Affirmative Determinations in the Countervailing Duty Investigations into surges of solar imports from Cambodia, Malaysia, Thailand, and Vietnam 

ITA Fact Sheet with Rates found here

Washington, D.C. — The U.S. Department of Commerce’s International Trade Administration (ITA) last week issued its preliminary determination of countervailing duties to be imposed on crystalline silicon photovoltaic cells imported from Cambodia, Malaysia, Thailand, and Vietnam. Commerce imposed the subsidy rates in response to cases brought by The American Alliance for Solar Manufacturing Trade Committee in April 2024, which contend that these four countries are harming the U.S. solar manufacturing industry through unfair trade practices. The Commerce Department also made affirmative critical circumstances findings on all Vietnam and Thailand producers with above de minimis countervailing duty (CVD) margins. As such, the CVD duties will apply retroactively by 90 days for these companies.

“Today’s announcement is an important early step in a year-long process to determine the amount of illegal government subsidies benefiting these companies,” said Tim Brightbill, partner at Wiley Rein and lead counsel to the petitioners. “This preliminary determination shows that we are still very early in these investigations, and we expect the final determination to reflect the true harm these imports bring to U.S. manufacturing. We are confident that the duty rates will increase as Commerce continues to investigate newly alleged subsidies. It is our understanding that producers in all four countries are still responding to detailed questionnaires required in these cases which will impact the final findings.”

In May of this year, the Commerce Department initiated the investigations into the four countries. In June, the International Trade Commission (ITC) issued a unanimous affirmative preliminary determination that dumped and subsidized imports from Cambodia, Malaysia, Thailand, and Vietnam were currently injuring (or for Cambodian subsidies, threatening to injure) U.S. solar cell and module manufacturers. In August, the Alliance filed critical circumstances allegations that Chinese-owned and -headquartered producers were rushing to import solar panels before new tariffs would be implemented.

Today’s preliminary determination represents just one aspect of the efforts of American companies seeking to restore fair trade to the U.S. market, and to protect billions of dollars of investment in new American solar manufacturing. The next step will be preliminary anti-dumping determinations, scheduled for late November.

The Alliance will continue to work with staff at the Department of Commerce, and share evidence of illegal dumping and subsidies as its members await final determinations next spring.

Milestones in the cases, to date

• April 24: The American Alliance for Solar Manufacturing Trade Committee files a set of antidumping and countervailing duty cases with the U.S. Department of Commerce and the U.S. International Trade Commission.
• May 14: Commerce initiates the AD and CVD investigations.
• May 15:  The ITC staff conference takes place in Washington, DC with Convalt Energy, Meyer Berger, Missions Solar, and Qcells, testifying. (testimonies available)
• May 16:  The White House announces a set of actions on solar, including the removal of the 201 bifacial exclusion, anti-stockpiling measures, and heightened monitoring of solar imports from Southeast Asia.
• June 6: Moratorium on Duties and Tariff Enforcement expires on Chinese manufacturers under investigation for circumventing U.S. trade law by funneling imports through Southeast Asia. In 2022, the Biden Administration issued a two-year moratorium on tariffs and in 2023, the Commerce Department confirmed that several of the Chinese manufacturers were indeed circumventing trade law.
• June 7: The International Trade Commission makes a unanimous affirmative preliminary determination that dumped and subsidized imports from Vietnam, Cambodia, Malaysia, and Thailand are currently injuring (or for Cambodian subsidies, threaten to injure) U.S. solar cell and module manufacturers.
• August 15: The American Alliance for Solar Manufacturing Trade Committee files critical circumstances allegations with the Department of Commerce regarding surges of solar imports from Vietnam and Thailand. The Committee bases its allegations on a 39% increase in imports from Vietnam and a 17% increase from Thailand between April and June 2024, when compared to January and March 2024.

Upcoming key dates

Antidumping:

1. Preliminary Determination (extended) (Nov. 27, 2024)
2. Final Determination (fully extended) (Apr. 11, 2025)

Countervailing Duties:

1. Final Determination (if alignment with AD investigation requested) (Apr. 11, 2025)

Antidumping and Countervailing Duties: Antidumping duties are intended to offset the amount by which a product is sold at less than fair value, or “dumped,” in the United States. The margin of dumping is calculated by the Department of Commerce. Countervailing duties are intended to offset unfair subsidies that are provided by foreign governments and benefit the production of a particular good. After affirmative preliminary determinations by the Department of Commerce, estimated duties in the amount of the dumping and subsidies will be collected from importers at the time of importation.

Product Description: The products subject to the critical circumstances petitions are crystalline silicon photovoltaic cells, whether or not assembled into modules, from Vietnam and Thailand.

Petitioners: The petitioner is the American Alliance for Solar Manufacturing Trade Committee, a coalition of seven member and supporter companies Convalt, First Solar, Meyer Burger, Mission Solar, Qcells, REC Silicon, and Swift Solar. The petitioner is represented by Wiley Rein LLP. For more information on this petition, visit AmericanSolarTradeCmte.org.

Source: The Alliance