U.S targets China, ends tariff exemption for some solar imports

The United States Government is cancelling tariff exemptions for certain solar imports.

The latest step is aimed primarily at China, an economic rival and the second-largest economy behind the U.S.

The White House said loopholes for imports via third countries were being closed and that tariff exemptions for bifacial, or double-sided, solar modules were coming to an end.

Bifacial models can not only convert solar radiation from above into electricity, but also absorb reflected radiation via the back.

“These actions will provide a boost to domestic solar producers, but the impact of Chinese oversupply on U.S. investments in the solar market remains a challenging issue,’’ said John Podesta.

Podesta is a White House senior adviser on clean energy.

The proportion of bifacial modules in U.S. imports was once low but this has changed drastically.

The U.S. government says hardly any other solar modules are now being imported, as this is now the dominant technology.

A tariff exemption for the import of solar modules from four Asian countries into the U.S.- Cambodia, Malaysia, Thailand and Vietnam is also to be ended.

The U.S. government argues that China imports solar modules into the U.S. via these countries at artificially low prices and avoids customs duties.

Biden authorised the 24-month tariff exemption two years ago in order to ensure sufficient supply.

Since then, however, the production of solar modules in the U.S. had increased dramatically.

Biden announced on Tuesday, that special tariffs of 100 per cent would be imposed on electric cars from China.

He said this could effectively be removing them from the U.S. market because the final price would be too high for the vast majority of car buyers.

China accused Biden an election campaign manoeuvre ahead of the upcoming presidential vote in November and had threatened consequences.

dpa/NAN