The new tariff on imported solar cells and modules is expected to decrease gradually over a period of four years,starting at 30% in the first year. In the following three years, the tariffs could decrease to 25%, 20% and 15%, respectively.
Additionally, the first 2.5GW of imported solar cells will be exempt from the tax in each of these four years.
In a statement, the Office of the US Trade Representative said: "Following successful trade cases filed by the domestic industry, which levied 40 percent tariffs on Chinese solar imports, China moved production elsewhere and evaded U.S. relief, while maintaining capacity.
"Today, China dominates the global supply chain and, by its own admission, is looking to increase its capacity to account for 70 percent of total planned global capacity expansions announced in the first half of 2017."
The Solar Energy Industries Association (SEIA) stated that this decision could effectively result in the loss of about 23,000 American jobs this year, including many in manufacturing.
The decision could also result in a delay or cancellation of billions of dollars in solar investments, said SEIA.
At the end of 2016, the US solar manufacturing industry employed 38,000 people.
SEIA president and CEO Abigail Ross Hopper said: “While tariffs in this case will not create adequate cell or module manufacturing to meet US demand, or keep foreign-owned Suniva and SolarWorld afloat, they will create a crisis in a part of our economy that has been thriving, which will ultimately cost tens of thousands of hard-working, blue-collar Americans their jobs.”
Image: Trump imposes 30% tariff on imported solar panels. Photo: Courtesy of RK008/FreeDigitalPhotos.net.
