Solar Anti Dumping

China wants an amicable resolution to the solar anti-dumping issue with India at the same time raising concerns that the levy of a duty might hinder the growth of the sector.

Wang Hejun, Director of the Trade Relief Investigation Bureau of the Ministry of Commerce, China, while speaking on the initiation of the solar anti-dumping investigation in India said, “I hope India will focus on the overall situation, and take a cautious attitude to the case in strict accordance with regulations to carry out investigations and avoid abuse of trade remedy measures. China is willing to strengthen exchanges and consultation with the Indian side, through industry cooperation, to properly resolve the problems arising in trade to achieve the common development.”

Mr. Hejun stated, “The Chinese government is highly concerned about the recent anti-dumping investigations initiated by photovoltaic cells and components in India.”

The photovoltaic (PV) industry is a strategic emerging industry in the world and is of great importance in addressing climate change, promoting rural electrification, and eradicating poverty. Countries should work together to promote the sustained and healthy development of the PV industry, rather than abuse trade remedy measures, and disrupt the normal trade order, added Mr. Hejun.

Mr. Hejun pointed out that in recent years, the rapid development of the photovoltaic market in India, “PV power generation capacity in the past three years increased by 3.7 times”, which has also benefited from China’s export prices of reasonable, high-quality PV cells and components.

Mercom previously reported, “The office of the Directorate General of Anti-dumping & Allied Duties (DGAD) India, has started the investigation into the anti-dumping petition – filed by the Indian Solar Manufacturers Association (ISMA) – against solar imports from China, Taiwan, and Malaysia.”

The ISMA filed the anti-dumping petition in June. The anti-dumping petition was filed as cheap Chinese modules have captured almost the entire solar project development in India and even the domestic content category (DCR) tenders for project development (solar) are dwindling.

“Obviously they will want to cooperate on this matter. It concerns them in a big way – India is a preferred destination for most Chinese solar exports,” stated an official at Directorate General of Anti-dumping & Allied Duties (DGAD) India.

“Last time around, India’s solar sector had just found its feet, but now we are a major player and if the targets set by the Ministry of New and Renewable Energy (MNRE) are to be implemented seriously, the Chinese will loose out on a chunk of profits from some of the cheapest solar projects to be developed, as after a levy of duty, the Chinese modules might get more expensive than Indian ones,” added the official at DGAD India.

In May 2014 Mercom reported that the Indian Ministry of Trade and Commerce concluded its solar anti-dumping investigations and recommended imposition of anti-dumping duties on solar cell imports from China, the United States, Malaysia, and Taiwan. The recommended levies ranged from $0.11 to $0.81 per watt.

Image credit: By Oregon Department of Transportation, CC BY 2.0, via Wikimedia Commons