Commerce Ministry proposes antidumping duty on solar cell imports

Solar panels

The Commerce Ministry has proposed anti-dumping duty of up to USD 0.81 per watt on solar cells imported from the US, Malaysia, China and Chinese Taipei following complaints by domestic players, PTI said.

Solar panelsIn its final findings, the Directorate General of Anti-dumping and Allied Duties (DGAD) has recommended imposition of the duty on imports of “solar cells whether or not assembled partially or fully in modules or panels or on glass or some other suitable substrates, originating in or exported from Malaysia, China, Chinese Taipei and USA,” the Commerce Ministry said in a notification.

The Directorate’s recommendation comes on the basis of its findings that increased imports have caused “material injury” to the domestic industry, it said.

“… the Authority (DGAD) concludes that – the product under consideration has been exported to India from subject countries below its normal value, thus resulting in dumping of the product; the domestic industry has suffered material injury due to dumping of the product under consideration,” it added.

While the DGAD has recommended anti-dumping duties of up to USD 0.48 per watt on import of solar cells from the US companies and up to USD 0.81 per watt for Chinese firms.

Similarly, USD 0.62 per watt and USD 0.59 per watt was recommended by the DGAD on imports from Malaysian and Taipei firms, respectively.

According to the report, imports of solar cells from the US, Malaysia, China and Taipei have jumped to 1,73,015 KW (kilo watt) in 2010-11 from 57,661 KW.

“The Authority is of the view that imposition of definitive anti-dumping duty is required to offset dumping and injury. Therefore, the Authority considers it necessary to recommend imposition of definitive anti-dumping duties on the imports of the goods from the countries,” it added.

The application for the probe was filed by Solar Manufacturer’s Association of India on behalf of three of its member companies – Indosolar Ltd, Jupiter Solar Power Ltd and Websol Energy Systems Ltd.

The recommendations also come against the backdrop of the US dragging India to the WTO on the country’s solar mission plan that allows only local equipment.

India has said that its national solar mission programme is WTO-compliant and it would defend its stand in the Geneva-based multilateral body.

India in 2010 launched Jawaharlal Nehru National Solar Mission. It aims to have 20,000 MW of grid-connected solar power by 2022.