Commerce Post-Preliminary Analysis Finds Thai Producers Receiving Additional Chinese Subsidies of 13% to 39%
Washington, D.C. (January 9, 2025) – The U.S. Department of Commerce’s International Trade Administration (ITA) today issued a post-preliminary analysis in the Countervailing Duty (CVD) Investigation of Crystalline Silicon Photovoltaic Cells, Whether or Not Assembled into Modules, from Thailand. Original rates from Thailand in the preliminary CVD determinations issued October 1, 2024 found a de minimis subsidy rate for Trina Solar Science & Technology (Thailand) Ltd. (TTL). This news increases the rate by 13.45% for TTL, and by 39.27% for Thai producers Sunshine Electrical and Taihua New Energy.
The Commerce investigation found three new cross-border subsidies, all from China into Thailand: the cross-border provision of Chinese wafers, solar glass, and silver paste. This is the first time the Commerce Department has calculated transnational subsidies in any countervailing duty investigation. Wafers accounted for the vast majority of the new subsidies on TTL.
When Commerce issued its initial CVD preliminary determination on October 1, 2024, as mandated by law, it had not yet completed these new subsidy inquiries. The Alliance notes that similar new cross-border subsidy investigations are ongoing in Malaysia as well.
“The increased duty rates demonstrate that Thai solar producers are benefiting not only from Thai Government subsidies, but also from discounted raw materials received from government-controlled entities in China,” said Tim Brightbill, Partner at Wiley Law and lead attorney for the Alliance for American Solar Manufacturing. “We commend the Commerce Department for these new transnational subsidy findings, which demonstrate these companies’ illegal trade activities that have harmed American workers.”
In addition to TTL, Sunshine Electrical Energy (Sunshine Electrical) and Taihua New Energy (Thailand) Co. Ltd. (Taihua New Energy) will also be subject to a 13.09% rate for the Cross-Border Provision of Chinese Silicon Wafers for LTAR (less than adequate remuneration, i.e., subsidized); 13.09% for the Cross-Border Provision of Chinese Solar Glass for LTAR; and 13.09% for the Cross-Border Provision of Chinese Silver Paste for LTAR.
The Alliance will continue to work with staff at the Department of Commerce, and share evidence of illegal dumping and subsidies as its members await final determinations next spring.
Upcoming key dates
Antidumping and Countervailing Duties: Final Determinations (fully extended) (Apr. 18, 2025)
Milestones in the cases, to date
- April 24, 2024: The American Alliance for Solar Manufacturing Trade Committee files a set of antidumping and countervailing duty cases with the U.S. Department of Commerce and the U.S. International Trade Commission.
- May 14, 2024: Commerce initiates the AD and CVD investigations.
- May 15, 2024: The ITC staff conference takes place in Washington, DC with Convalt Energy, Meyer Berger, Missions Solar, and Qcells, testifying. (testimonies available)
- May 16, 2024: The White House announces a set of actions on solar, including the removal of the 201 bifacial exclusion, anti-stockpiling measures, and heightened monitoring of solar imports from Southeast Asia.
- June 6, 2024: Moratorium on Duties and Tariff Enforcement expires on Chinese manufacturers under investigation for circumventing U.S. trade law by funneling imports through Southeast Asia. In 2022, the Biden Administration issued a two-year moratorium on tariffs and in 2023, the Commerce Department confirmed that several of the Chinese manufacturers were indeed circumventing trade law.
- June 7, 2024: The International Trade Commission makes a unanimous affirmative preliminary determination that dumped and subsidized imports from Vietnam, Cambodia, Malaysia, and Thailand are currently injuring (or for Cambodian subsidies, threaten to injure) U.S. solar cell and module manufacturers.
- August 15, 2024: The American Alliance for Solar Manufacturing Trade Committee files critical circumstances allegations with the Department of Commerce regarding surges of solar imports from Vietnam and Thailand. The Committee bases its allegations on a 39% increase in imports from Vietnam and a 17% increase from Thailand between April and June 2024, when compared to January and March 2024.
- October 1, 2024: Commerce issues countervailing duty preliminary determination rates to be imposed on crystalline silicon photovoltaic cells imported from Cambodia, Malaysia, Thailand, and Vietnam.
- November 28, 2024: Commerce issues antidumping preliminary determination rates on solar imports from Cambodia, Malaysia, Thailand, and Vietnam.
Antidumping and Countervailing Duties: Antidumping duties are intended to offset the amount by which a product is sold at less than fair value, or “dumped,” in the United States. The margin of dumping is calculated by the Department of Commerce. Countervailing duties are intended to offset unfair subsidies that are provided by foreign governments and benefit the production of a particular good. After affirmative preliminary determinations by the Department of Commerce, estimated duties in the amount of the dumping and subsidies will be collected from importers at the time of importation.
Product Description: The products subject to the critical circumstances petitions are crystalline silicon photovoltaic cells, whether or not assembled into modules, from Vietnam and Thailand.
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About The Alliance
The American Alliance for Solar Manufacturing Trade Committee is a coalition of seven member and supporter companies calling for trade law enforcement against foreign entities engaging in illegal practices to protect jobs, ensure fair prices, and foster a strong American solar industry for generations to come. For more information visit: AmericanSolarTradeCmte.org.
