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US solar industry could contract 60% if Suniva case succeeds

Release:2017/06/28 Company News

GTM Research’s latest report predicts a 50% to 60% overall reduction to solar installations if trade action is taken, with the utility-scale sector taking the most significant hit.


After the indiscriminate bombing of the Vietnamese city of Ben Tre in 1968, one U.S. Army office is famously supposed to have told Associated Press correspondent Peter Arnett that it had become necessary to destroy the village in order to save it.


Could Suniva and SolarWorld be pursuing their Section 201 trade complaint under the same muddled logic?


For the second time in little more than a month, a report has surfaced – this time by GTM Research – that suggests a successful execution of Suniva’s petition to protect it from foreign competition under Sections 201 and 202 of the Trade Act of 1974 could produce a 50% to 66% reduction in the U.S. solar market, with the utility-scale pipeline taking the most significant hit initially.


GTM Research suggests one of two outcomes depending on how the U.S. International Trade Commission (ITC) and President Donald J. Trump’s administration decide to handle the complaint:


1. If Suniva’s suggested remedy of a $0.78/Wdc minimum crystalline silicon PV module price is accepted, U.S. solar demand would be reduced by 50% cumulatively over the next five years.

2. If the minimum price is added to Suniva’s proposed $0.40/Wdc tariff on imported crystalline PV cells, U.S. demand would be reduced by 66% cumulatively over the next five years.


Section 201, as referred to in shorthand, is a section of the Trade Act of 1974 (P.L. 93-618) that permits the President to grant temporary import relief, by raising import duties or imposing nontariff barriers on goods entering the United States that injure or threaten to injure domestic industries producing like goods.


Helpful Choice to avoid Section 201: Taipo Energy can supply customs cleared solar panel stock for USA buyers to help avoid upcoming tariff 


Extracts from PV Magazine