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Image header Agence Europe
Europe Daily Bulletin No. 11324
EXTERNAL ACTION / (ae) trade

Investigation into Chinese solar panels and circumvention of EU tax

Brussels, 29/05/2015 (Agence Europe) - On Thursday 28 May, the European Commission announced that it was opening an investigation into the possible circumvention of anti-dumping duties imposed by the EU on imports of crystalline silicon photovoltaic modules and their key components (cells) originating in or consigned from China by imports of the same products consigned from Malaysia and Taiwan.

The Commission is thus following up on a complaint lodged in the spring by the manufacturer Solar Wood, which accuses China of sending its photovoltaic cells and components to Taiwan and Malaysia so as to avoid paying the anti-dumping duties imposed by the EU on these products since 2013 (see EUROPE 11305).

Since the end of 2013, the EU has imposed taxes against dumping practices and Chinese subsidies, the average rate of which is 4.7%. The taxes are applicable to a third of Chinese producers until the end of 2015.

“Chinese solar manufacturers circumvent the EU's anti-dumping measures by first exporting to third countries like Malaysia and Taiwan before they are imported into the EU, thereby falsifying their genuine origin. Such circumvention is customs fraud”, states EU ProSun, an association representing companies from this sector. According to EU ProSun, the EU industry is severely affected by these circumvention practices, which have resulted in a loss of over €500 million for EU member states. (Emmanuel Hagry)

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