Preliminary Commerce determination to impose anti-dumping duties on China and Taiwan aims to finish job of first trade cases

HILLSBORO, Ore., July 25, 2014 – SolarWorld today commended the U.S. Department of Commerce's determination to impose preliminary anti-dumping import duties averaging about 42 percent on crystalline silicon solar panels made by the state-controlled Chinese solar industry from solar cells fabricated in third countries using Chinese inputs and about 36 percent on solar cells made in Taiwan.

Commerce set preliminary rates of 26.33 percent and 58.87 percent on solar panels assembled in China (from third-country cells made from Chinese inputs) by mandatory respondents Trina Solar and ReneSola, respectively. The department also imposed preliminary anti-dumping duties rates of 27.59 percent and 44.18 percent on cells manufactured in Taiwan by Gintech Energy Corp. and Motech Industries Inc., respectively, whether or not assembled into solar panels in Taiwan or another country. Most other producers in China and Taiwan will receive import duty rates averaging the rates for the two producers in their respective countries.

Combined with preliminary anti-dumping duty rates issued last month, most companies will pay combined duties of about 47 percent. Duties go into effect immediately. They cover imports left unaddressed in an earlier set of trade cases concluded in 2012. A Commerce fact sheet restates the scope of imports underlying the investigation to date.

"We and our workers are gratified to hear that the U.S. government once again has moved to block foreign government interference in our economy and clear the way for the domestic production industry to be able to compete on a level playing field," said Mukesh Dulani, president of SolarWorld Industries America Inc., the largest domestic solar producer for nearly 40 years. "We should not have to compete with dumped imports or the Chinese government. Today's actions should help the U.S. solar manufacturing industry to expand and innovate."

On June 3, Commerce announced preliminary anti-subsidy duties averaging 27 percent on panel imports from Chinese solar producers using cells from third countries made from Chinese inputs. For China, the announced antidumping and subsidy duties will be largely added together, with an adjustment for those subsidies deemed to be export subsidies. Final determinations are expected in mid-December.

The two sets of new preliminary duties supplement coverage of imports beyond the coverage of earlier cases and duties, which covered cells made in China, whether or not fully or partially assembled into panels there or elsewhere.

In late 2012, the U.S. manufacturing industry, led by SolarWorld, won duties averaging 31 percent to offset illegal, export-intensive government subsidies for Chinese producers and to counter their pricing at artificially low levels to seize market share from domestic manufacturers within the U.S. market. But many Chinese producers evaded the duties by commissioning manufacturers in other countries to partially or fully produce solar photovoltaic cells for assembly into solar panels back in China. State-controlled Chinese media said at least 70 percent of U.S. imports from China contain Taiwanese cells. To close that loophole, SolarWorld filed the current cases Dec. 31, 2013.

With its cases, SolarWorld is acting with support from the Coalition for American Solar Manufacturing (CASM). CASM represents more than 250 solar-industry businesses employing nearly 25,000 Americans.

SolarWorld REAL VALUE: SolarWorld manufactures and sells solar power solutions and in doing so contributes to a cleaner energy supply worldwide. As the largest solar producer in the United States and Europe, SolarWorld employs about 3,200 people and carries out production in Hillsboro, Ore., and Freiberg and Arnstadt, Germany. From the raw material silicon to solar wafers, cells and panels, SolarWorld manages all stages of production ‒ including its own research and development. The company maintains high social standards at all locations across the globe and is committed to resource- and energy-efficient production. Headquartered in Bonn, Germany, SolarWorld was founded in 1998 and has been publicly traded on the stock market since 1999. For more information, visit www.solarworld-usa.com.