Canada seeks dispute settlement over ‘unwarranted’ US solar trade tariffs

Facebook
Twitter
LinkedIn
Reddit
Email
US Tariffs on Canadian crystalline silicon PV cells have been in place since 2018 Credit: Q Cells

Canada has requested a dispute settlement panel regarding US safeguard tariffs on solar products from Canada after failing to resolve the issue through consultations.

The request was made under Chapter 31 of the Canada-United States-Mexico Agreement (CUSMA) on 22 December 2020. Under CUSMA timeframes, the panel would be expected to issue a report on the topic by early 2022.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

Since the tariffs of 18% were imposed in early 2018, Canadian exports of solar products to the US have plummeted by 82%.

“These tariffs are unwarranted and damaging to the global competitiveness of our long-established, secure, and deeply integrated supply chains,” said Mary Ng, Canadian minister of small business, export promotion and international trade.

“Canada and the United States share a long-standing mutually beneficial relationship, and our ongoing partnership will contribute to a strong, sustainable recovery, and benefit workers and businesses on both sides of the border,” she added.  

US tariffs were placed on crystalline silicon photovoltaic cells manufactured in Canada, whether fully assembled into other products or not. The US International Trade Commission (USITC) first set 30% tariffs in May 2017, with rates gradually reducing to the 18% today.

The USITC’s original report to US authorities in 2017 stated Canadian imports were not substantial and did not cause serious harm to US interests. Nevertheless, the Trump administration imposed the tariffs, resulting in legal action taken by Canadian solar manufacturers.  

More recently, the Solar Energies Industries (SEIA) asked president Biden to remove the tariffs as one of six key energy policy priorities for the new administration.

SEIA said that tariffs of solar products meant the cost of panels in the US is roughly 50% higher than the global average.

Read Next

May 20, 2024
A win by the US Republican Party in this year’s election could decelerate the country’s energy transition and reverse decarbonisation policies.
May 14, 2024
US President Joe Biden has announced a series of tariffs directed towards Chinese goods, including solar cells.
April 29, 2024
Solar developer SolarBank has partnered with Canadian engineering services and consulting firm TriMac Engineering to develop a 31MW community solar portfolio in the eastern region of Nova Scotia, Canada.
April 4, 2024
The US secretary of the Treasury, Janet L. Yellen, has said the US “wouldn’t want to rule out” protective trade measures to combat overcapacity of solar PV and energy storage manufacturing in China.
March 4, 2024
The government of Alberta has implemented a new “agriculture-first” approach to approving projects, on land in the Canadian province.
February 6, 2024
The first US$10 billion close of this second fund includes a seed portfolio of an unnamed UK onshore renewables developer and a solar development partnership in India.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
July 2, 2024
Athens, Greece
Solar Media Events
July 9, 2024
Sands Expo and Convention Centre, Singapore
Solar Media Events
September 24, 2024
Warsaw, Poland
Solar Media Events
September 24, 2024
Singapore, Asia