The U.S. International Trade Commission (USITC) and the Department of Commerce announced today that they will investigate the U.S. government’s claims American Solar Energy Manufacturing Alliance Trade Committee that silicon solar cells and panels made in Cambodia, Malaysia, Thailand and Vietnam continue to be dumped into the US market at prices that leave domestic manufacturers unable to compete. The commission filed the anti-dumping/countervailing duty (AD/CVD) petition last month.
This will be the second AD/CVD investigation into the export practices of solar cell and panel manufacturers in Southeast Asia. In August 2023, the Ministry of Commerce expanded AD/CVD to Chinese solar manufacturers operating in the four countries mentioned. The expanded Chinese AD/CVD allows manufacturers using non-Chinese wafers or at least four solar components (silver paste, aluminum frames, glass, backplates, EVA plates, junction boxes) made outside China to be exempt from the AD/CVD orders . Chinese companies operating in Southeast Asia have been able to adapt their supply chains quite easily to remain exempt from the duties. This new investigation will look at ongoing ‘unfair trade practices’.
When the American Alliance for Solar Manufacturing Trade Committee first filed its petition, First Solar, Mission Solar, Qcells and Convalt Energy were listed as committee members. Convalt has since been removed as a board member, although it remains part of the Alliance, alongside Meyer Burger, REC Silicon and Swift Solar. The committee is represented by DC law firm Wiley Rein LLP.
Credit: NextEra Energy
Before the USITC decided to launch a new investigation, it accepted outside commentary. Only three entities submitted official comments: developer NextEra Energy and panel manufacturers Canadian Solar and Illuminate USA (LONGi).
NextEra focused largely on the comment that the committee members did not represent the domestic silicon industry because First Solar made thin-film panels and Convalt was not yet producing any products. This is probably why Convalt was removed from the list of committee members.
Canadian Solar has classified Qcells as “primarily a foreign manufacturer” and “U.S. importer of subject goods” and not as a representative of the domestic industry. Both Canadian Solar and Illuminate also stated that Qcells does not manufacture cells and must import products regardless of country of origin, and therefore their claims are moot. While Qcells was founded in South Korea and produces in Malaysia, it is currently the largest producer of silicon solar panels in the United States, with an annual capacity of 5.1 GW and growing, and plans to produce cells domestically . Meanwhile, Canadian Solar and LONGi are two of the largest multinational manufacturers with operations in Southeast Asia, as the American Alliance for Solar Manufacturing Trade Committee noted in its rebuttal comments.
The USITC heard testimony about the case on May 15. In addition to the American Alliance for Solar Manufacturing Trade Committee, other participants included BYD, Canadian Solar, Illuminate, Trina Solar and the American Clean Power Association. Alliance members mainly testified that oversupply in the United States is hurting domestic production, while all other participants stated that because there is no domestic cell production, importing silicon cells from Southeast Asia is necessary.
Now that an investigation has been initiated, the USITC should make a preliminary determination of property damage or threat of property damage within 45 days (likely mid-June), with a final determination expected in spring 2025. amount of subsidies and levies to be imposed.