U.S. Solar Installers Oppose China Trade ComplaintA trade complaint filed against China’s solar manufactures three weeks ago has forced members of the U.S. solar industry to take sides. A group of 25 manufacturers and installers, including SunEdison and SolarCity on Tuesday said they are banding together to oppose the complaint.
The formation of the group, called the Coalition for Affordable Solar Energy (CASE), is the latest twist in a fight over complex issues about fair competition and the role of government subsidies. The trade complaint, filed by a group led by SolarWorld, contends that Chinese solar panel makers – which receive hefty financial support of the Chinese government – have been flooding the U.S. market with products at unfairly low prices. SolarWorld’s group is asking the U.S. International Trade Commission and the Commerce Department to investigate Chinese silicon solar cell and panel makers and impose duties on what they export to the United States (solar cells are assembled to form solar panels).
...The trade complaint has materialized at a time when solar manufacturers worldwide are struggling. The global solar market has been marked by a glut of solar panels, and their prices have fallen by 30-40 percent this year. The oversupply has come largely as a result of countries such as Germany and Italy, which are the biggest solar markets, that cut their incentives for installing solar. The weak European financial market also has made it more difficult for developers to line up project financing. Prices for solar panels have gotten so low that analysts believe some companies are selling at a loss.
Some manufacturers that can’t compete, such as Solyndra, have filed for bankruptcy while others, including SolarWorld, have shuttered factories or scale back production. At the same time, lower panel prices have helped to reduce the cost of solar electricity and make solar projects more attractive in growing markets such as the United States and India.
The new coalition called the trade complaint “short-sighted” and said ...
http://www.forbes.com/sites/uciliawang/2011/11/08/solar-trade-dispute-over-china-intensifies/