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US targets India, Indonesia & Laos with import tariffs on solar panels – a covert move to shield domestic aluminium industry?

EDITED BY : 5MINS READ

The United States’ dumping allegation against India has now extended beyond aluminium to include solar panels. Indonesia and Laos are also carrying similar accusations, as a group of US solar panel manufacturers have claimed that an influx of cheap products from these countries is harming the domestic market of solar items.  

US proposes 3,500% tariff on solar imports – a covert move to shield domestic aluminium industry?Image source: Britannica

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On Thursday, July 17, the Alliance for American Solar Manufacturing and Trade filed a formal petition, citing the surge in imports from Indonesia, Laos, and India intensified following the imposition of steep tariffs of up to 3,500 per cent on solar panels imported from Malaysia, Cambodia, Vietnam, and Thailand. The allegation is clear that the countries hit by US tariffs are rerouting their solar exports through these new channels to sidestep trade barriers.

Trade data also appears to support the claim, with Indonesia and Laos’ exports growing 1.9 per cent Y-o-Y making up 44 per cent of US cell and module imports.

However, this recent move by the US has already sparked debate, raising questions like - is this another safeguard measure akin to the tariffs on aluminium and steel, or is it a move to protect billions of dollars of investments being made in the US solar industry, or is it a strategic push to further block China-made products from entering the American market?

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