USA - Temporary exemption of anti-circumvention tax imposed on Vietnam's solar panels

General information 

1. Type of Case: Anti-circumvention

2. Case No.: A-570-979; C-570-980

3. Initiated Country: United States Department of Commerce (“DOC”)

4. Respondent(s): Vietnam, Cambodia, Thailand, Malaysia

5. Subject Product: Cystalline silicon photovoltaic cells and modules (“CSPV”)

6. HS Code: 8501.71, 8501.72, 8501.80, 8507.20, 8541.42, 8541.43

Updated procedure

On March 28, 2022, the DOC initiated the anti-circumvention investigation regarding certain CPSV originating in Cambodia, Malaysia, Thailand, and Vietnam. The DOC alleged that solar cell and module manufacturers in those countries are using parts produced by Chinese companies, in order to minimize production costs, while also skirting existing anti-dumping and countervailing tariffs on Chinese products, which have been in place since 2012.

Accordingly, on March 30, 2022, the Questionnaire on Quantity and Value was issued with the due date of April 20, 2022.   

Due to the shortage supply of solar cells and modules for solar power generation, on June 6, 2022, President of the United States Joe Biden declared a State of Emergency, which stated the contents as follows:

  • There is an emergency with respect to the threats to the availability of sufficient electricity generation capacity to meet expected customer demand; and
  • Thus, the Decision regarding the imposition of anti-circumvention duty may be terminated until 24 months after the date of this Declaration or until the emergency declared has terminated (whichever occurs first). 

However, please be noted that the postponement (if any) is only temporary. The DOC also released a press release stating that the investigation conclusion “will apply once this short-term emergency period is over”.

In order to avoid unfair disadvantages, the parties involved in this investigation should keep the information up to date and maintain strong communication and coordination with expert organizations for assistance.