SUNIVA TARIFFS TO BURN OUT SOLAR INDUSTRY
Bankruptcy is a desolate road. A road that Suniva Solar Systems is stumbling down right now.
Rather than taking the high road, a.k.a. fading into oblivion, there’s always that one bad apple who spoils the barrel.
In case you haven’t heard, the Suniva’s Petitioned Remedy for their trade case is:
- Year 1 – $0.40/watt per cell, with a minimum import price of $0.78/watt per module
- Year 2 – $0.37/watt per cell, with a minimum import price of $0.72/watt per module
- Year 3 – $0.34/watt per cell, with a minimum import price of $0.69/watt per module
- Year 4 – $0.33/watt per cell, with a minimum import price of $0.68/watt per module
Note. The remedy being petitioned is the cell tariff, or the minimum import price. Whichever is greater, i.e., if the import cost of the module is less than $0.78/Watt (year 1), including the $0.40 cell tariff, then the importer will still need to pay $0.78/Watt.
As your neighbors, friends, and colleagues, we’re here to educate you on how the actions of a few will impact millions at home and around the world.
The solar industry’s been able to thrive these last 5 years because modules were finally affordable to the companies who were taking the risk of designing and installing solar for U.S. citizens’ homes and businesses. With this trade case nearly doubling the cost each individual module, this will hinder the progress of the renewable energy industry in countless ways.
Solar’s a major contributor of the United States economy, creating a new job every 10 minutes. No, that’s not a typo.
Last we checked, bankrupt companies leech onto the government for bailouts (cough *Lehman Brothers*), and seek to impose detrimental industry tariffs. Suniva’s Trade Case is filed under the 1974 Trade Act. That Act could allow the president to impose tariffs, minimum prices, or quotas on solar products from any country if the ITC finds “serious injury.”
Ha, what? “Serious injury?” Bad business is just bad business, and tariffs won’t save a sinking ship.
The general rule for any remedy to apply prior to action by the president (1/12/18), the petitioner (Suniva) would have to make a case to the ITC for “critical circumstances.” To date, there has been no such claim by the petitioner. Hence, the reason why the module manufacturers are not offering tariff protection for Q1 deliveries at this time.
To summarize Suniva’s Trade Case: Negligence to the industry they serve and seek to gain their profits from, and a giant waste of hard earn tax-payers money.
The 260,000 American jobs and counting, their livelihoods, their families, their businesses, their consumers and their savings, and the environmental protection depend on the solar industry.
This industry is continually growing for economic and environmental gains. The numbers don’t lie. #SaveSolarJobs
Below are additional resources for your review with the trade case.
- Link to Trade Case Petition: https://docs.wto.org/dol2fe/Pages/FE_Search/FE_S_S006.aspx?Query=@Symbol=%20(g/sg/n/6/usa/11)&Language=ENGLISH&Context=FomerScriptedSearch&languageUIChanged=true#
- Excellent Summary from NY Times: https://www.nytimes.com/2017/06/30/business/energy-environment/solar-energy-trade-china-trump.html
- Editorial from Tom Werner, President of SunPower: http://www.huffingtonpost.com/entry/the-economic-reality-of-proposed-tariffs-on-solar_us_595e61c2e4b085e766b510da?utm_source=SolarWakeup&utm_campaign=d51237a2d3-SolarWakeup_2_182_16_2013&utm_medium=email&utm_term=0_5eaa0aab62-d51237a2d3-44234541
- Article of Impact of Tariffs on Solar Jobs: http://www.seia.org/blog/trade-petition-could-mean-devastation-us-solar
- Bloomberg Market Summary: https://www.bloomberg.com/news/articles/2017-05-25/solarworld-americas-joins-suniva-trade-case-for-import-duties
- Explanation of “Industrial Blackmail” by SQN Capital: https://electrek.co/2017/05/29/us-notifies-world-of-possible-safeguard-tariffs-on-imported-solar-cells-effective-last-week/