echemi logo
Product
  • Product
  • Supplier
  • Inquiry
    Home > Chemicals Industry > Chemical Technology > China's exports of photovoltaic products may face punitive tariff sanctions

    China's exports of photovoltaic products may face punitive tariff sanctions

    • Last Update: 2022-11-18
    • Source: Internet
    • Author: User
    Search more information of high quality chemicals, good prices and reliable suppliers, visit www.echemi.com

    Recently, the EU has officially launched an anti-circumvention investigation of Chinese photovoltaic panel companies, after EU photovoltaic companies accused Chinese counterparts of violating previous price agreements
    reached to avoid anti-dumping tariff penalties.
    This means that China's exports of photovoltaic products may face punitive tariff sanctions
    before the end of the year.

    The European Commission has formally investigated
    whether Chinese PV companies deliberately used circumvention to circumvent the 2013 price agreement.
    Under the price agreement, Chinese PV product manufacturers agreed to voluntarily raise the price of their products to a level
    similar to that of EU companies.
    The latter accuses Chinese companies of receiving unfair government subsidies, such as low-interest loans and export subsidies
    .

    After an initial EU investigation and threats of punitive tariffs, the two sides reached this compromise and received strong support
    from major EU countries.
    However, less than a year later, EU PV panel companies began complaining that Chinese companies used false advisory agreements to return funds to customers, among other means, to circumvent price agreements
    .

    The complaint filed by German manufacturer SolarWorld also refers to another tactic used by Chinese companies, which is to ship Chinese-made PV products to Europe through Taiwan or Malaysia, making the products appear to be produced in transit and thus do not need to increase the price
    according to the agreement.
    Foreign media reported that the EU's latest investigation will take nine months to reach a conclusion
    .

    The only long-term solution to the dispute over PV products is for the Chinese government to abandon subsidies to the industry
    .
    This may not be easy, as the Chinese government's practice of subsidizing companies has historical roots
    .
    Until China actually changes its approach, this trade war will continue, and after this failed attempt by the European Union, Western countries may not seek a negotiated solution
    .

    Recently, the EU has officially launched an anti-circumvention investigation of Chinese photovoltaic panel companies, after EU photovoltaic companies accused Chinese counterparts of violating previous price agreements
    reached to avoid anti-dumping tariff penalties.
    This means that China's exports of photovoltaic products may face punitive tariff sanctions
    before the end of the year.

    Photovoltaic products

    The European Commission has formally investigated
    whether Chinese PV companies deliberately used circumvention to circumvent the 2013 price agreement.
    Under the price agreement, Chinese PV product manufacturers agreed to voluntarily raise the price of their products to a level
    similar to that of EU companies.
    The latter accuses Chinese companies of receiving unfair government subsidies, such as low-interest loans and export subsidies
    .

    After an initial EU investigation and threats of punitive tariffs, the two sides reached this compromise and received strong support
    from major EU countries.
    However, less than a year later, EU PV panel companies began complaining that Chinese companies used false advisory agreements to return funds to customers, among other means, to circumvent price agreements
    .

    The complaint filed by German manufacturer SolarWorld also refers to another tactic used by Chinese companies, which is to ship Chinese-made PV products to Europe through Taiwan or Malaysia, making the products appear to be produced in transit and thus do not need to increase the price
    according to the agreement.
    Foreign media reported that the EU's latest investigation will take nine months to reach a conclusion
    .

    The only long-term solution to the dispute over PV products is for the Chinese government to abandon subsidies to the industry
    .
    This may not be easy, as the Chinese government's practice of subsidizing companies has historical roots
    .
    Until China actually changes its approach, this trade war will continue, and after this failed attempt by the European Union, Western countries may not seek a negotiated solution
    .

    This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.

    Contact Us

    The source of this page with content of products and services is from Internet, which doesn't represent ECHEMI's opinion. If you have any queries, please write to service@echemi.com. It will be replied within 5 days.

    Moreover, if you find any instances of plagiarism from the page, please send email to service@echemi.com with relevant evidence.