Commerce ministry recommends anti-dumping duty on solar cells from China for three years

New Delhi: The Commerce Ministry’s investigation arm DGTR has recommended the imposition of anti-dumping duty for three years on import of solar cells from China, with an aim to guard domestic players from cheap imports.

In its final findings, the Directorate General of Trade Remedies (DGTR) has concluded that ‘Solar Cells whether or not assembled in Modules or made up into Panels’ have been exported to India at a price below the normal value, resulting in dumping.

The injury to the domestic industry has been caused by the dumping of the product, the DGTR has said in a notification.

“The authority recommends imposition of definitive anti-dumping duty on the imports... for a period of 3 years... as a percentage of the CIF (cost, insurance, freight) value of the goods,” it said.

It has recommended the duty as percentage of CIF value. For certain Chinese firms, the recommended duty is 23 per cent, while for some others it is 30 per cent of the CIF value of the product.

While the DGTR recommends the duty, the finance ministry takes the final decision to impose the same.

Sunlight is converted into electricity through a process called photovoltaics (PV). This involves several key components working together to harness the energy from the sun. At the core are solar cells, which are made from silicon. These are grouped together and mounted on a solar panel or module which captures sunlight and converts it into direct current (DC) electricity.

The DGTR has also recommended imposition of the duty on imports of “Virgin Multi-Layer Paperboards” from Chile and China.

It has suggested the levy in the range of $152.27 per ton to $221.36 per ton.

“The authority recommends imposition of anti-dumping duty on the imports... for a period of 5 years,” another notification has said.

An anti-dumping duty has also been suggested for five years on imports of “Soda Ash” originating in or exported from Turkey, Russia, USA and Iran.

A duty in the range of $31.58 per ton to $75 per ton has been recommended by the directorate on imports of “Calcium Carbonate Filler Masterbatch” from Vietnam.

Anti-dumping probes are conducted by countries to determine whether domestic industries have been hurt because of a surge in cheap imports.

As a countermeasure, they impose these duties under the multilateral regime of Geneva-based World Trade Organisation (WTO).

All these nations are members of multilateral organisations that deal with global trade norms. The duty is aimed at ensuring fair trading practices and creating a level playing field for domestic producers vis-a-vis foreign producers and

exporters.