Critz Urges Action on China’s Subsidization and Unfair Dumping of Solar Cells in the U.S. Market

JOHNSTOWN, PA – Yesterday, Congressman Mark S. Critz (PA-12) joined eighteen of his colleagues in sending a letter to Commissioners on the U.S. International Trade Commission expressing ongoing concern with unfair trade practices by the Government of China over the subsidization and dumping of solar cells and modules in the U.S. market.  Preliminarily findings by the U.S. International Trade Commission and the U.S. Department of Commerce have found these activities in violation of trade laws, and today the Commission will hold its final hearing on the Chinese solar trade cases. 

“It is imperative that the Commission consider the evidence of injury to U.S. domestic producers and manufacturers that is caused by Chinese imports, as evidenced by the closure of multiple U.S. manufacturing facilities, job losses in the industry, financial difficulties for U.S. companies, and other factors,” wrote Congressman Critz and the other lawmakers.  “We also strongly encourage the Department of Commerce to close a loophole in its preliminary determination that allows Chinese manufacturers to circumvent antidumping and countervailing duty orders.  By revising the scope of the case, the Department can help ensure that Chinese producers and exporters are not able to weaken the effectiveness of U.S. trade laws by simply shifting parts of their manufacturing process to countries not covered by the orders.”

On October 19, 2011, SolarWorld Industries America Inc., the largest U.S. producer of crystalline silicon photovoltaic (PV) products, filed antidumping and countervailing duty petitions with the U.S. Department of Commerce and the U.S. International Trade Commission against Chinese crystalline solar cell and panel imports.  The petitions assert that Chinese imports are being dumped into the U.S. market in dramatic proportions, some in excess of 100 percent.  Over the past two years, 13 solar plants have shut down or downsized, eliminating more than 2,000 U.S. solar manufacturing jobs in numerous states, including Pennsylvania. The petition by SolarWorld is asking the government to grant relief to domestic producers by imposing duties to offset Chinese dumping and subsidies. 

Today, the U.S. International Trade Commission will hold its final hearing on injury and next week the U.S. Department of Commerce will announce its final determination.  On November 7, 2012, the Commission will vote on the final determination.

In 2010, Congressman Critz urged the Obama Administration to begin an immediate World Trade Organization (WTO) investigation into Chinese subsidies on wind power equipment.  An investigation was launched and China ended the subsidies in 2011.  Earlier this year, Congressman Critz urged the Administration to take action against China’s unfair export subsidies on auto and auto parts, and last month the Administration officially challenged these subsidies at the WTO.