Chinese Solar Panels. Commission launches dumping investigation on imports

A dumping investigation into imports of solar panels from China was launched today by the European Commission following a complaint from a PV industry association on the basis of market distortions. It is the largest dumping complaint the EU has ever received with regards to affected import value. China is accused of providing subsidies to solar panel producers who export their products below market value, thereby causing unfair competition. If found guilty, Chinese companies might have to pay anti-dumping duties.

 
Commenting on today's decision by the European Commission to launch an anti-dumping investigation against China, Ioannis A. Tsoukalas MEP, Member of the Committee on Industry, Research and Energy of the European Parliament, said:

"It is positive that the European Commission, albeit belatedly, has started a dumping investigation in the field of photovoltaics. Already in September 2011, in a Written Question to the Commission, I had pointed out the aggressive Chinese industrial policies in the PV market and their impact on European production, which would lead to a virtual monopoly and an EU 'green dependence' on imported solar panels. It is worth noting that the US, already in May 2012, imposed duties on imported Chinese solar panels. Meanwhile, several American and European companies as sustaining losses with some companies having already filed for bankruptcy due to unfair competition."

"The solar energy sector is designated by the Chinese Government as a strategic emerging industry and supported through a range of measures. It should be clear that the Commission's investigation is not directed against China but it is a necessary process for eliminating unfair practices and developing a well-functioning and viable global PV market."

With a total import value of photosensitive semi-conductor devices (including PV cells) that reaches €23 billion (14 from China), the EU is the biggest PV market and should be able to compete on a level playing field, having its fair share of access to foreign markets. The 'below-market-value' prices of Chinese solar panels might seem beneficial for consumers in the short-term (e.g. for companies that install solar systems etc) but in the medium-term, they would undermine the European PV industry, with significant job losses, leading to a virtual Chinese monopoly. "We should not forget that around 50 photovoltaic cell production companies are located in the EU and that the greater European PV industry employs more than 300,000 people", concluded Mr Tsoukalas.