tariff on solar panels
On January 22, 2018 the Trump administration imposed a tariff on solar panels. The tariffs are 30 percent in year one, declining to 25 percent in year two, 20 percent in year three and 15 percent in year four.

President Biden has vetoed a bipartisan resolution that aimed to reinstate tariffs on solar panels imported from specific Southeast Asian countries.

The resolution would have undermined the administration’s efforts to develop a strong domestic solar supply chain, according to President Biden.

The Department of Commerce had suspended tariffs on solar panels imported from Cambodia, Malaysia, Thailand, and Vietnam through a rule that went into effect in November.

This rule was implemented after President Biden waived tariffs on solar panels from these Southeast Asian countries for two years to address a shortage of solar modules and boost domestic manufacturing capacity.

The White House stated that about 75% of solar modules imported to the United States in 2020 originated from Southeast Asia.

President Biden, in his veto letter, highlighted the progress made by his administration, including the announcement of 51 new and expanded solar equipment manufacturing plants and commitments from private companies to increase their solar panel manufacturing capacity.

He emphasized that the Department of Commerce’s rule supports American businesses, workers, and provides reliable electricity to families, while holding trading partners accountable.

The resolution had passed with bipartisan support in the House and Senate under the Congressional Review Act, allowing Congress to overturn federal agency rules through a simple majority vote.

However, President Biden vetoed the resolution, expressing concerns that it would harm the development of the solar industry in the United States and create uncertainty for businesses and workers.

The Solar Energy Industries Association (SEIA), representing over 1,000 solar companies, had urged President Biden to veto the resolution and praised his action for preserving clean energy progress and protecting thousands of American jobs, including those in solar manufacturing.

Supporters of the resolution argued that China should face consequences for evading tariffs by using Southeast Asian countries as transit points for their products, based on a preliminary finding from a Commerce Department investigation.

President Biden clarified that he does not plan to extend the Department of Commerce rule beyond its expiration in June 2024.

Derick Lila
Derick is a Clark University graduate—and Fulbright alumni with a Master's Degree in Environmental Science, and Policy. He has over a decade of solar industry research, marketing, and content strategy experience.

Study Reveals: Rooftop Solar Panels Could Satisfy Electricity Needs of Up to 35% of U.S. Manufacturers. Find Out Which Industries Benefit the Most

Previous article

Sask. Premier Slams Federal Government’s Net-Zero Plan, Calls it ‘Unrealistic and Unaffordable.’ Find Out His Alternative Approach!

Next article

You may also like


Leave a reply

More in Insight