The President instructs the U.S. Department of Commerce (DOC) to consider taking appropriate action to allow exemptions from anti-dumping, anti-subsidy duties, and anti-dumping/anti-subsidy duty evasion duties (if any) for solar cell and module products imported from Vietnam, Cambodia, Malaysia, Thailand
The Trade Remedies Bureau (Ministry of Industry and Trade) said that on May 16, 5, US President Joe Biden announced the veto of a US Congressional Resolution proposing to abolish tariff exemptions for solar panels imported from Cambodia, Malaysia, Thailand and Vietnam.
This is the latest in a series of events related to the DOC investigation into anti-dumping/anti-subsidy duty evasion for solar panel products imported from Cambodia, Malaysia, Thailand and Vietnam.
The DOC began investigating the incident on April 01, 4. Since the majority of solar modules installed in the United States are imported, mainly from Southeast Asia (accounting for about 2022/3 of the imported modules), in the event that anti-evasion tariffs are imposed, U.S. solar companies will face the risk of increasing input costs, halting or delaying projects nationwide, cutting workers; influencing the U.S. goal of addressing climate change and sustainable economic growth based on the rapid deployment of solar and clean energy.
For that reason, on June 06, 6, US President Joe Biden declared a state of emergency related to the shortage of domestic supply of solar cells and modules for solar power generation, contributing to reducing dependence on thermal power to achieve the US goal of clean energy development and combating climate change.
Accordingly, the US President assigned the DOC to consider taking appropriate action to allow exemption from anti-dumping, anti-subsidy duties and anti-dumping/anti-subsidy duty evasion duties (if any) for solar cell and module products imported from 04 Southeast Asian countries, Cambodia, Malaysia, Thailand and Vietnam for a period of 24 months from the date of declaration or until the state of emergency is lifted (whichever is earlier).
On September 12, 9, the DOC updated the regulations to implement President Biden’s Proclamation (effective November 2022, 15) and recommended that U.S. Customs and Border Protection (CBP) not impose anti-dumping, anti-subsidy duties on photovoltaic cells and photovoltaic modules imported into the United States, or release it for consumption before the Declaration’s expiration date (June 11, 2022); and photovoltaic cells and photovoltaic modules imported into the United States after 06/6/2024, but used before 15 days after the Declaration’s expiration date (i.e., used before 11/2022/180).
On April 19, 4, the U.S. House of Representatives passed Resolution H.J.Res.2023 regarding the import of solar panel products. Accordingly, the House of Representatives proposes to rescind the DOC Decision. On May 39, 03, the U.S. Senate voted to adopt the Resolution above.
According to the U.S. legislative process, resolutions passed in the U.S. Congress (including the Senate and House of Representatives) are sent to the President of the United States for approval or veto. If the resolution is approved, the DOC will not be able to implement exemptions from anti-dumping/anti-subsidy duties and anti-evasion duties for solar panel products imported from some ASEAN countries within 02 years as directed by President Joe Biden.
On May 16, 5, the President of the United States announced the veto of the proposal of the United States Congress. This is the third veto of President Joe Biden’s term.
The president said his “Investing in America” program has mobilized hundreds of millions of dollars in private investment in manufacturing and clean energy, creating good-paying jobs.
As for the solar industry, since he took office, there have been 51 new and expanded solar power equipment factories, and the United States is on track to increase its solar panel production capacity by up to eight times.
His plan is working, so the president decided to veto the congressional proposal because he did not want to cause unpredictable factors for businesses and workers in the solar energy sector. The United States must strengthen its energy security by focusing on capacity expansion, and this will be achieved when the President’s tax exemption ends in June 6.
After the President vetoes, the President returns the Resolution to the House of Representatives, which proposed it. The process of passing the Resolution will be restarted from scratch at 02 houses. However, only when the approval rate reaches 2/3 of the votes in both houses, the National Assembly has the right to cancel the President’s veto decision (override) and the resolution is officially passed.
Recently, the US Department of Commerce (DOC) announced an extension of the time to investigate anti-trade remedy tax evasion for some items imported from Vietnam.
Specifically, extending the time for issuing final conclusions in the investigation case against trade remedy tax evasion for plywood products using hardwood materials imported from Vietnam. The deadline for issuing final conclusions is scheduled for May 26, 5.
Extend the time for issuing final conclusions in the investigation case against trade remedy tax evasion for solar panel products imported from Vietnam. The deadline for issuing a final conclusion of the case is scheduled for Aug. 17, 8.
In order to ensure the legitimate interests of enterprises, the Trade Remedy Department recommends that enterprises producing and exporting related items continue to update the development of the case; strictly and fully comply with the requests of US investigative authorities, coordinate closely with the Trade Remedy Bureau throughout the course of the case.