Background

An import safeguard on solar cells first imposed four years ago has been revised and extended for another four years.

The Section 201 safeguard on crystalline silicon photovoltaic cells and other CSPV products containing these cells, which applies to imports from most countries, consists of (1) a tariff-rate quota on CSPV cells not partially or fully assembled into other products, with an unchanged duty rate for the in-quota quantity and a higher duty rate for over-quota articles, and (2) a higher duty rate on CSPV modules.

President Biden issued Feb. 4 a proclamation that makes the following changes to this safeguard.

- extends the TRQ for four years and increases the in-quota quantity from 2.5 to 5.0 gigawatts each year

- continues the higher duty on CSPV modules for another four years at rates that will start at 14.75 percent and decline by 0.25 percent each year

- excludes bifacial solar panels from the safeguard duties

The proclamation also authorizes the Office of the U.S. Trade Representative to launch negotiations with Canada and Mexico toward an agreement ensuring that imports from those countries do not undermine the effectiveness of the safeguard. If such an agreement is reached the safeguard may be suspended with respect to imports from these countries.

For more information on how this safeguard may affect your business, please contact attorney Kristen Smith at (202) 730-4965 or via email.

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