PV industry trade dispute

China's solar panel sector faces a "double anti" challenge in both Europe and the U.S.

October 2011

SolarWorld, a U.S.-based solar cell manufacturer, petitioned for a "double anti" probe into 75 Chinese firms.

November 2011

The U.S. officially started investigating these 75 Chinese photovoltaic (PV) enterprises.

March 2012

The U.S. Department of Commerce imposed preliminary countervailing duties ranging from 2.9% to 4.73% on Chinese solar cells exported to the U.S.

May 2012

The U.S. Commerce Department initially levied hefty anti-dumping duties, between 31.14% and 249.96%, on Chinese photovoltaic products entering the American market.

September 2012

The EU launched an anti-dumping probe against China’s PV industry within Europe, though no countervailing measures were filed at that time.

October 2012

The U.S. Commerce Department finalized its ruling on the 10th, confirming the existence of dumping and subsidies in crystalline silicon photovoltaic cells and components exported from China to the U.S.

October 2012

The EU requested countervailing investigations against China's PV industry in Europe.

In response, China retaliated: the Ministry of Commerce initiated a "double anti" probe targeting South Korea, the U.S., and the EU.

July 2012

The Chinese Ministry of Commerce confirmed the initiation of a "double anti" case against the U.S. in the polysilicon sector and also launched an anti-dumping investigation against South Korea.

November 2012

The Ministry of Commerce of the People's Republic of China decided to conduct countervailing and anti-dumping investigations on imported solar-grade polysilicon originating from the European Union. This investigation would be combined with previous "double anti" probes on polysilicon products from the U.S. and South Korea.

Due to the European debt crisis and international trade protectionism, China's PV companies experienced significant losses. For instance, JA Solar reported over $400 million in losses in the first half of 2012, while Suntech Power incurred a $180 million loss in Q2 of the same year.

As I write this, the global PV industry remains under immense pressure. These protective measures taken by major economies like the U.S. and the EU have severely impacted Chinese solar companies. It seems as if every step forward is met with two steps back. While China’s retaliation is a strong signal, the future remains uncertain. Companies like JA Solar and Suntech Power are now grappling with how to adapt to this new reality, balancing innovation with cost management. The ripple effects of these policies are far-reaching, not only affecting manufacturers but also supply chains and downstream industries worldwide.

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