Solar firms mention that latest tariff plan will have a “catastrophic impact” on the industry

Solar firms mention that latest tariff plan will have a “catastrophic impact” on the industry
The Solar Energy Industries Association mentions on Wednesday that executing tariffs on panels and cells from the following nations will have a “catastrophic impact” on the industry –
  • Malaysia
  • Vietnam
  • Thailand

The above 3 countries account for 80% of the U.S.′ panel imports.

In a document to Commerce Secretary Gina Raimondo, over 190 U.S. solar firms urge the Department of Commerce not to begin a trade inquiry.

Wednesday’s letter arrives after various firms filed an unsigned appeal with the Department of Commerce in August. This is asserting that China-based solar cell and module manufacturers are averting U.S. tariffs by shifting manufacturing out of the nation. The Department is likely to make a decision by the end of the month if to open an inquiry.

“The massive responsibilities described for in these appeals, ranging from 50% to as high as 250%. These are now having an unfavorable effect on the U.S. solar industry. If applied, would destroy the market and each of our separate firms,” the letter mentions.

SEIA estimates that if the anticipated tariffs go into result, it will cost the market 18 gigawatts of solar deployment by 2023. This result is equal to all U.S. solar systems before 2015. It also signifies a substantial chunk of the likely buildout over the next few years. The market is projected to add 30 GW of solar in 2022 and 33 GW in 2023. This is as per the estimations from energy consultancy Wood Mackenzie.

“We suppose the substantial ambiguity is a real risk for US utility-scale developers – developments can be driven out further with growing interruptions beyond the following –
  • Poly [polycrystalline]
  • Freight/logistics.”

The above is prominent by analysts at Bank of America.

In June, the following agencies issued a Withhold Release Order on silica-based products from Hoshine Silicon Industry
  • S. Customs
  • Border Protection

This is due to enforced labor troubles in China’s Xinjiang area.

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