The European Commission is set to conduct an investigation against Chinese photovoltaic manufacturers after complaints from PV manufacturers. If its suspicions are confirmed, the EU may force Chinese companies to pay hefty taxes.
The association, with more than 20 members led by Germany’s SolarWorld, claims that illegally cheap Chinese panels “decimated” the ability of European companies to compete and resulted in “layoffs and one major European solar bankruptcy every month.”
A preliminary assessment from the U.S., which imported more than $3 billion in solar cells and panels from China last year, said China was dumping the products on the U.S. market at margins ranging from 31 percent to 250 percent, and levied temporary tariffs to counteract the distortion.
China produces about 65% of the world’s solar panels. The EU is the Asian superpower’s top export target, taking 80% of the technology – a relationship worth roughly $26.5 billion.