The Dept. of Commerce today released its preliminary affirmative determination in the countervailing duty (CVD) case relating to solar cell imports from Southeast Asia. After an affirmative determination from the U.S. International Trade Commission in June that the U.S. solar panel manufacturing industry is being materially injured by imports of silicon solar cells and panels from Cambodia, Malaysia, Thailand and Vietnam, Commerce has been working on the tariff amounts to apply.
The preliminary CVD amounts range from less than 1% to nearly 300%, and tariff rates are expected to increase further at the time of the final determinations, said Tim Brightbill, partner at Wiley Rein and lead counsel to The American Alliance for Solar Manufacturing Trade Committee (AASMTC), which filed the AD/CVD petition earlier this year. The DOC’s preliminary determination in the antidumping (AD) case will likely come in November.
The preliminary subsidy rates are as follows:
Cambodia
| Solarspace New Energy | 8.25% |
| Jintek | 68.45% |
| All others | 8.25% |
Malaysia
| Hanwha Q CELLS | 14.72% |
| JinkoSolar | 3.47% |
| Baojia New Energy, Pax Union, and SunMax Energy | 123.94% |
| All others | 9.13% |
Thailand
| Trina Solar | 0.14% |
| Taihua New Energy, and Sunshine Electrical Energy | 34.52% |
| All others | 23.06% |
Vietnam
| Boviet Solar | 0.81% |
| JA Solar | 2.85% |
| GEP New Energy, HT Solar, Shengtian New Energy Vina, Vietnam Green Energy Commercial Services Co. |
292.61% |
| All others | 2.85% |
Now that these preliminary numbers have been released, U.S. Customs and Border Protection (CBP) will begin collecting cash deposits at the border. If tariff rates increase in the final determinations, CBP will expand its collection to the higher rate. Commerce plans to release its final CVD determinations on or around Feb. 10, 2025.
Commerce noted that imports of solar cells, whether or not assembled into solar panels, from the four countries have increased because of unfair foreign subsidies, thus warranting the need for CVD action.
| Country | 2021 | 2022 | 2023 |
| Cambodia Import Volume | 799.2 MW | 2,368.5 MW | 6,722.3 MW |
| Malaysia Import Volume | 6,189.0 MW | 3,296.6 MW | 6,755.5 MW |
| Thailand Import Volume | 4,299.2 MW | 4,624.7 MW | 10,604.9 MW |
| Vietnam Import Volume | 5,335.9 MW | 8,455.4 MW | 12,301.52 MW |
In August, a critical circumstances allegation was filed with Commerce regarding the surge in solar cell imports from Thailand and Vietnam specifically. Commerce revealed a preliminary affirmative decision in this area too. Therefore, solar cells imported from the two countries during the first half of this year will receive retroactive duties.
Commerce determined that Boviet Solar (Vietnam) and Trina Solar (Thailand) received such a minimal subsidy rate from their operating countries that there will be no suspension of liquidation for exported solar cells. Similarly, Commerce determined that there was not a surge in imports from JA Solar of Vietnam, so neither will those products receive retroactive duties. All other solar cells from Thailand and Vietnam will have retroactive duties.
Also in August, petitioner AASMTC filed another new subsidy allegation regarding Chinese manufacturers establishing silicon wafer operations in the four countries and polysilicon operations in Cambodia only. Commerce took up that investigation on Sept. 20. It is also investigating subsidy claims against silver paste, aluminum frames, junction boxes and solar glass.
Story updated Oct. 2 to include the affirmative ruling in the critical circumstance allegation.
Interesting, the brands with the highest tariff hits apparently are the brands that are “pass through” cells or panels direct from China. Some of those CDV rates over 30% up to the high of 292.61% for folks one doesn’t normally hear about like this big adjustment for: GEP New Energy, HT Solar, Shengtian New Energy Vina, Vietnam Green Energy Commercial Services Co., one wonders just how many other “work arounds” in the supply chains is getting into the U.S. right now. When someone says, National Security ‘issue’, it is time to stop and think about the manufacturing sector in the U.S. moving forward.