Immediately, the U.S. Division of Commerce introduced its preliminary determinations within the circumvention inquiries of photo voltaic cells and modules from the Individuals’s Republic of China (PRC). Commerce examined a grievance alleging that eight photo voltaic corporations that manufacture photo voltaic cells and modules are manufactured the parts within the PRC, then sending these cells and modules to Cambodia, Malaysia, Thailand, and/or Vietnam for minor processing earlier than being exported to the US. Such actions quantity to an effort to evade the prevailing antidumping obligation (AD) and countervailing obligation (CVD) orders on photo voltaic cells and modules from the PRC. Immediately’s preliminary dedication underscores Commerce’s dedication to holding the PRC accountable for its commerce distorting actions, which undermine American industries.
Below U.S. regulation, Commerce might conduct a circumvention inquiry when proof means that merchandise topic to an current AD/CVD order is accomplished or assembled in third nations from components and parts imported from the nation topic to the order. AD/CVD orders are designed to offer aid to the U.S. home industries when they’re dealing with unfair competitors. Circumvention of those duties threatens to undermine American industries, staff, and companies.
After a radical, clear, and data-driven investigation of eight corporations throughout the 4 nations, Commerce preliminarily discovered that 4 of the eight corporations being investigated try to bypass U.S. duties by doing minor processing in one of many Southeast Asian nations earlier than delivery to the US.
The preliminary findings are as follows:
Third Nation |
Firm |
Discovering |
Cambodia |
BYD Hong Kong |
Circumventing |
|
New East Photo voltaic |
Not Circumventing |
Malaysia |
Hanwha |
Not Circumventing |
|
Jinko |
Not Circumventing |
Thailand |
Canadian Photo voltaic |
Circumventing |
|
Trina |
Circumventing |
Vietnam |
Boviet |
Not Circumventing |
|
Vina Photo voltaic |
Circumventing |
Additional, some corporations in Malaysia, Thailand and Vietnam didn’t reply to Commerce’s request for data on this investigation, and per longstanding observe, will probably be discovered to be circumventing.
As a result of Commerce preliminarily discovered that circumvention was occurring by every of the 4 Southeast Asian nations, Commerce is making a “country-wide” circumvention discovering, which merely designates the nation as one by which photo voltaic cells and modules are being circumvented from the PRC. This doesn’t represent a ban on imports from these nations. Corporations in these nations will probably be permitted to certify that they aren’t circumventing the AD/CVD orders, during which case the circumvention findings is not going to apply. With regard to the businesses beneath investigation that weren’t circumventing the AD/CVD duties, no motion will probably be taken so long as their manufacturing course of and provide chain don’t change.
These findings are preliminary, and as a subsequent step, Commerce will conduct in-person audits within the coming months to confirm the knowledge that was the premise of its discovering. Moreover, all events may have a possibility to touch upon Commerce’s discovering, which Commerce will absolutely think about earlier than issuing its last dedication, which is at present scheduled for Might 1, 2023.
Unbiased of Commerce’s last dedication, the Presidential Proclamation issued on June 6, 2022, offers that duties is not going to be collected on any photo voltaic module and cell imports from these 4 nations till June 2024, except events can not certify that the imports is not going to be consumed within the U.S. market inside six months of the entry date. This offers U.S. photo voltaic importers with ample time to regulate provide chains and be sure that sourcing isn’t occurring from corporations discovered to be violating U.S. regulation.
For extra data on antidumping and countervailing duties, go to the International Trade Administration’s FAQs.
Public information on this investigation could be discovered at access.trade.gov beneath case quantity A-570-979.