Should Congress impose duties for solar panels using parts manufactured in China and other Southeast Asian Countries?
This joint resolution nullifies the final rule submitted by the Department of Commerce titled Procedures Covering Suspension of Liquidation, Duties and Estimated Duties in Accord With Presidential Proclamation 10414 and published on September 16, 2022. The rule allows for the suspension of duties on certain crystalline silicon photovoltaic cells and modules (i.e., solar panels) that are completed in Cambodia, Malaysia, Thailand, or Vietnam using parts and components manufactured in China that are not already subject to an antidumping or countervailing duty order.
Sponsor: Representative Bill Posey (Republican, Florida District 8)
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Opponents say
• "The Administration strongly opposes H.J. Res. 39, which would disapprove a rule issued by the Department of Commerce (Commerce) that temporarily suspends the collection of certain duties on imports of solar cells and modules from four Southeast Asian countries: Cambodia, Malaysia, Thailand, and Vietnam. For too long, unfair trade practices and underinvestment in domestic manufacturing have left the United States dependent on imports for solar power products that are important for reducing energy costs for consumers, improving public health, and combating climate change. From day one, the President has prioritized investments that will create good-paying jobs and build secure supply chains in the United States, including for solar energy." Source: President Biden (Statement of Administration Policy)
Proponents say
• "The Communist Party of China, which is attempting to subvert the world trade system to benefit Chinese businesses and shift the balance of power to their advantage, must not be allowed to circumvent our trade laws, dump an inferior product into the United States, and undercut American manufacturing. Unfortunately, some believe we must tolerate China’s bad actions and remain dependent on adversarial nations to build up domestic renewable energy. That’s a false choice. The United States can and should focus its resources into developing our own capability to manufacture quality solar products and boosting American competivness around the world, rather than supporting China’s quest to dominate the market and control energy supplies." Source: Rep. Bill Posey (Republican, Florida District 8)
• "This should not be a partisan issue. We cannot allow foreign solar manufacturers to violate trade laws, especially when it comes at the expense of American workers and businesses. By suspending tariffs on those who violate our trade laws, we are undermining our own American manufacturers and workers. By suspending tariffs on those who violate our trade laws, we are making us more reliant, not less reliant, on China for our manufacturing and clean energy needs. The Chinese Communist Party has also been found by the United Nations Office of the High Commissioner for Human Rights to be responsible for ‘serious human rights violations’ for its treatment of Uyghurs, and China’s polysilicon and solar-component industry relies heavily on mining and manufacturing in Xinjiang. We must care about how products are made when they are sold in the U.S. Fair trade is important. And climate change is real, and addressing it is also important. But we cannot be short-sighted in our efforts as to rely on foreign companies and countries to meet our energy or climate goals, especially when they have been found in violation of U.S. trade laws. It is a false choice to suggest that we can either choose to combat climate change or protect American manufacturers or workers. We can do both. I ask my colleagues to vote yes on this bipartisan legislation." Source: Congressman Dan Kildee (Democrat, Michigan District 8)
