The United States Department of Commerce (DOC) finalized its verdict on August 18, 2023, in relation to the sidestepping of antidumping and countervailing duty (AD/CVD) orders A-570-979 and C-570-980. The orders pertain to certain crystalline silicon photovoltaic (CSPV) cells and modules. The adjustments were filed by Auxin Solar against imports from four countries: Cambodia, Malaysia, Thailand, and Vietnam.
According to the DOC’s ruling, there was evidence of countrywide circumvention of the orders in all four of the countries under investigation. This ruling has notable implications for solar module manufacturers and related businesses across the globe, as all goods falling within the parameters of the orders from these Southeast Asian countries will now be subject to AD/CVD orders.
Notably, the DOC made the determination of countrywide circumvention, despite traditionally focusing on company-specific activities. This signifies a likely shift in the DOC’s approach to enforcing AD/CVD orders, which may have far-reaching implications for future trade cases.
Auxin Solar, a US solar manufacturer, initiated the circumvention inquiry back in 2019. The company claimed that Chinese CSPV products were being exported to the United States through third countries to bypass US trade tariffs. The goods allegedly underwent minor assembly or processing in Cambodia, Malaysia, Thailand, and Vietnam before being shipped to America.
The DOC’s recent final decision represents a valuable case study for global businesses navigating complex international trade landscapes. It underscores the commitment of US authorities towards enforcement of trade rules and regulations, particularly in the rapidly evolving clean energy sector.
Learn more about the issue in detail from the complete decision document provided by the JD Supra.