Biden vetos bill seeking to overturn solar tariff moratorium

US President Joe Biden on Tuesday vetoed legislation that sought to overturn his two-year moratorium on solar tariffs for imports from four Southeast Asian countries.

The moratorium, set to expire in June 2024, was implemented to give the US time to enhance its domestic solar manufacturing capacity. In a statement released on Tuesday, the President reiterated that he does not intend to further extend the tariff suspension once it concludes next year.

“The Commerce Department’s solar tariff case effectively shut down the solar industry last spring, and the short-term tariff pause was strategically implemented to both allow project development to continue and create a bridge to a domestic manufacturing future,” explained Abigail Ross Hopper, president and chief executive of the Solar Energy Industries Association (SEIA).

Gregory Wetstone, president and chief executive of the American Council on Renewable Energy (ACORE), commented that the bill “would have changed the rules renewable developers and manufacturers rely upon, resulting in many dozens of canceled solar projects, tens of thousands of lost jobs, and a dangerous increase in carbon emissions.”

President Biden's decision highlighted the announcement of plans for 51 new and expanded solar equipment factories since taking office, with investment commitments spurred by the Inflation Reduction Act (IRA) passed last year.

“I vetoed H.J. Res. 39 because we cannot afford to create new uncertainty for American businesses and workers in the solar industry,” the president's statement reads. “We can and must strengthen our energy security by maintaining our focus on expanding US capacity that is ready to come on line as this temporary bridge concludes in June 2024,” it adds.

President Biden had previously stated his intention to veto the resolution. The bill was passed by Congress earlier this month.

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