EU Imposes Tariffs on the Chinese over Solar Panel Product Dumping
Recently China and the European Union (EU) have been discussing Chinese policy on their solar panel exports. The European Commission is concerned China solar exports are utilizing anti-competitive practices with European companies. The Chinese solar industry has according to the EU been product dumping into their markets. The European Commission has opted to introduce anti-dumping tariffs on Chinese Solar Exports as a result.
According to Milan Nitzschke President of the European solar manufacturer initiative ProSun indicated that Chinese policy has subsidized their own solar industry with electricity provisions and accessibly to credit from the state banks. The European Commission is concerned these policies are not fair to local solar industries who have to compete with exports from China. As a result, they have opted to introduce tariffs on China to enable fairer competition with the solar industry. This has not been the only dispute on Chinese trade policies as Europe had previously brought the issue of Chinese rare earths before the World Trade Organization which are materials involved in the production of solar panels as well as other innovative technologies.
The European Commission imposed anti-dumping trade restrictions upon China at 11.8% on June 6, 2013, which will rise to 47.6% on August 6, 2013 in order to address the concerns of fair business.
China has responded that they believe the European Union’s tariffs are unjust and contrary to worldwide fair trade. China feels that imposed tariffs will harm their industries and businesses and have vocally opposed the new regulations. China has threatened to introduce restrictions on European Wine in response to the recently imposed tariffs.
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