The United States Department of Commerce implemented anti-dumping measures directed at PV solar products manufactured by companies in Mainland China and Taiwan. The verdict of an anti-subsidy investigation announced last Sunday determined that there had been dumping behavior.

A tariff rate of 35.89% was levied on Taiwan, while a tariff of 44.18% was levied on MOTECH, which has established a factory in Kunshan, China. A tariff of 27.59% was also levied on GINTECH.

As for Mainland China’s PV solar manufacturers, they were given a tariff rate of 165.04%, which greatly exceeds Taiwan’s rate of 35.89%.

Although the tariff rate of 35.89% levied on Taiwan is higher than the original expected rate of 20% to 25%, Taiwanese manufacturers already have countermeasures. Therefore, most believe that although the initial result will impact Taiwan, the impact will not be large.

Taiwan Photovoltaic Industry Association Director General and NEO Solar Power Corporation CEO stated that it is unavoidable that the outcome of the verdict will have an impact, and that each company can seek out suitable measures to avoid duties in accordance with the “32 Principles.”

In addition, the United States only occupies 20% of the global solar energy market, and this is not a large proportion. Taiwanese companies can shift their business operations towards orders in other regions, such as Japan and Europe.

The “32 Principles” refers to three products exported to the United States from Mainland China and Taiwan (silicon wafers, solar cells, and modules). If two of them are produced in Mainland China and Taiwan, duties are to be levied in accordance with specific tax rates. Taiwanese companies’ method of responding will be to set up production in a third tariff-free country, and then export from there to the United States to circumvent tariffs.

Director of the research institute, EnergyTrend’s Research Division, Arthur Xu stated that this time’s verdict will have a greater short-term influence on Taiwanese manufacturers; however in the mid-term they will look towards the European market to recover speed and try to make up for their losses in the American market.