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US Takes Tough Stance On Chinese Modules



The Department of Commerce (Commerce) has announced its affirmative preliminary determination in the antidumping duty (AD) investigation of imports of crystalline silicon photovoltaic cells, whether or not assembled into modules (solar cells) from the People's Republic of China (China).
For the purpose of AD investigations, dumping occurs when a foreign company sells a product in the United States at less than fair value.

Commerce preliminarily determined that Chinese producers/exporters sold solar cells in the United States at dumping margins ranging from 31.14 percent to 249.96 percent.

Mandatory respondents in this investigation are the collapsed entities Wuxi Suntech Power Co., Ltd., Luoyang Suntech Power Co., Ltd., Suntech Power Co., Ltd. and Wuxi Sun-Shine Power Co., Ltd. (collectively "Wuxi Suntech") and the collapsed entities Changzhou Trina Solar Energy Co., Ltd. and Trina Solar (Changzhou) Science & Technology Co., Ltd. (collectively "Trina Solar").

Wuxi Suntech and Trina Solar received preliminary dumping margins of 31.22 and 31.14 percent, respectively. Fifty-nine other exporters qualified for a separate rate of 31.18 percent.
All other Chinese producers/exporters received a preliminary dumping margin of 249.96 percent.

Commerce preliminarily determined that critical circumstances exist. As a result of this preliminary determination, Commerce will instruct U.S. Customs and Border Protection to require a cash deposit or bond based on these preliminary rates, applicable to all entries of Chinese solar cells made up to 90 days prior to the date of publication of the preliminary determination notice.

The affirmative preliminary determination in the companion countervailing duty (CVD) investigation on solar cells from China was announced on March 20, 2012.

On March 20, 2012, Commerce al announced clarification of the scope of the on going AD and CVD investigations, finding that the scope covers not only imports of solar cells produced in China and solar modules/panels produced in China from Chinese-made solar cells, but also imports of solar modules/panels produced outside of China from solar cells produced in China. Commerce also found that the scope does not cover imports of modules/panels produced in China from solar cells produced in a third country. Changes in the scope are indicated in bold, below.

The petitioner for this investigation is SolarWorld Industries America Inc. (OR).

The products covered by this investigation are crystalline silicon photovoltaic cells, and modules, laminates, and panels, consisting of crystalline silicon photovoltaic cells, whether or not partially or
fully assembled into other products, including, but not limited to, modules, laminates, panels and building integrated materials.

This investigation covers crystalline silicon photovoltaic cells of thickness equal to or greater than 20 micrometers, having a p/n junction formed by any means, whether or not the cell has undergone other processing, including, but not limited to, cleaning, etching, coating, and/or addition of materials (including, but not limited to, metallization and conductor patterns) to collect and forward the electricity that is generated by the cell.

Subject merchandise may be described at the time of importation as parts for final finished products that are assembled after importation, including, but not limited to, modules, laminates, panels, building-integrated modules, building-integrated panels, or other finished goods kits. Such parts that otherwise meet the definition of subject merchandise are included in the scope of this investigation.

Excluded from the scope of this investigation are thin film photovoltaic products produced from amorphous silicon (a-Si), cadmium telluride (CdTe), or copper indium gallium selenide (CIGS).

Also excluded from the scope of this investigation are crystalline silicon photovoltaic cells, not exceeding 10,000mm2 in surface area, that are permanently integrated into a consumer good whose function is other than power generation and that consumes the electricity generated by the integrated crystalline silicon photovoltaic cell. Where more than one cell is permanently integrated into a consumer good, the surface area for purposes of this exclusion shall be the total combined surface area of all cells that are integrated into the consumer good.

Modules, laminates, and panels produced in a third-country from cells produced in the PRC are covered by this investigation; however, modules, laminates, and panels produced in the PRC from cells produced in a third-country are not covered by this investigation.

Merchandise covered by this investigation is currently classified in the Harmonized Tariff System of the United States (HTSUS) under subheadings 8501.61.0000, 8507.20.80, 8541.40.6020, 8541.40.6030, and 8501.31.8000. These HTSUS subheadings are provided for convenience and customs purposes; the written description of the scope of this investigation is dispositive.

In 2011, imports of solar cells from China were valued at an estimated $3.1 billion. However, the solar cells subject to this investigation are classified within HTSUS basket categories that contain products beyond the scope of the investigation.

NEXT STEPS
Commerce is currently scheduled to make its final determination in early October 2012.
If Commerce makes an affirmative final determination, and the U.S. International Trade Commission (ITC) makes an affirmative final determination that imports of solar cells from China materially injure, or threaten material injury to, the domestic industry, Commerce will issue an AD order. The ITC will make its final injury determination on or before November 19, 2012.

Source: U.S. Department of Commerce | International Trade Administration

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