The European Union (EU) and China have come to an agreement regarding the provisional anti-dumping duties the EU imposed on Chinese PV imports.
In June, the EU decided to impose tariffs of 11.8 percent on Chinese solar products entering the trading area. This decision was the result of an investigation into whether Chinese companies were selling these products at below cost price to gain market share in the EU.
A Yingli installation in Spain. Credit: Yingli Green Energy
While some solar producers in the EU applauded the measure, other stakeholders argued that tariffs would have ripple effects across the industry around the world.
But in a statement this weekend, the EU Trade Commissioner Karel De Gucht said a solution had been reached.
“I can announce today that I am satisfied with the offer of a price undertaking submitted by China’s solar-panel exporters,” said De Gucht. “This is the amicable solution that both the EU and China were looking for.”
The China Chamber of Commerce Import and Export of Machinery and Electronic Products has been involved in the negotiations on the Chinese side. According to news reports, the two parties have agreed that Chinese solar panels will be sold at a minimum price of 56 euro cents per watt in the EU.
However, the minimum price is voluntary. If a Chinese company refuses to sell at the minimum price, their products will be subject to the tariff rate, which is set to rise to almost 50 percent on August 6.
“We are confident that this price undertaking will stabilise the European solar panel market and will remove the injury that the dumping practices have caused to the European industry,” said De Gucht.
“We have found an amicable solution that will result in a new equilibrium on the European solar panel market at a sustainable price level.”
This agreement is still to be approved by the European Commission.
