EU, China ready with structure of solar compromise - report

Jul 8, 2013 - The European Union (EU) and China are ready with the structure of a deal that is to solve their solar products conflict and avoid high anti-dumping duties, Reuters said Friday citing knowledgeable sources.

According to the report, the two parties plan to introduce a quota for Chinese solar modules to be sold in Europe at prices higher than the cost of production in the Asian country. That cost has been put by analysts at some USD 0.59 (EUR 0.46) per Watt in 2012, Reuters said. It cited one of its sources as saying that all panels sold above the agreed quota will face punitive tariffs, which are yet to be determined.

On Friday the Shanghai Securities News also reported that China has offered to introduce a minimum price and an annual quota of solar panel exports to the EU. In return, the block should not impose anti-dumping tariffs or they should be very low, the state media said.

Beijing is in talks with the EU after the latter decided to introduce import duties of between 37.2% and 67.9% on Chinese solar panels, cells and wafers. For two months starting on June 6, defined as a transitional period, Chinese solar imports are subject to a tariff of 11.8%. After August 6 the full duties, which stand at 47.6% on average, will be in force, unless China and the EU reach a compromise.

Choose your newsletter by Renewables Now. Join for free!