By Admin 
Taking a shocking decision, the US has announced a huge tax of up to 3,521 per cent on solar panels coming from four countries of South East Asia. This step was taken when American solar manufacturing companies had requested the government that foreign companies are harming their markets at cheap prices.
After one year long investigation by the US Department of Commerce, the result was that many Chinese companies are producing in Cambodia, Malaysia, Thailand and Vietnam and are sending products from there to America, causing major damage to American industries.
America took a big step
The most strict action has been taken against the companies that did not cooperate in the investigation. For example, some companies in Cambodia have been taxed up to 3,521 percent. At the same time, a tax of 41 percent has been levied on the products of Chinese company Jinko Solar in Malaysia and 375 percent on the products of TRINA Solar in Thailand. America says that these companies were sending products at cheap prices, ie ‘dumping’, and behind it is a big role of Chinese subsidy.
This step will definitely benefit American solar manufacturing. The decision has been welcomed by the American manufacturers ‘American Alliance for Solar Manufacturing’. He says that it will strengthen America’s domestic production capacity and prove that Chinese companies had been taking wrong advantage of the system for a long time.
The prices of solar products may increase
In 2023, the US imported solar equipment of about $ 12 billion (about 1 lakh crore) from these four countries. Therefore, this decision is not only considered to be commercial, but also strategic. However, this can result in common consumers and small traders, who were getting the benefit of cheap solar panels till now. Due to the new tariff, the prices of solar products can now increase and installations can be expensive.
The timing of this decision is also special because recently Chinese President Xi Jinping has visited Vietnam, Malaysia and Cambodia. The purpose of this tour was to strengthen relations with these countries and combat American pressure. In such a situation, this decision seems to be another link to the growing business tussle between the two countries.
The US has already imposed a tax of up to 145 per cent on products coming from China and now in some cases this total tax can reach 245 per cent. In response, China has also retaliated and imposed 125 percent tax on American products and warned of “fighting till the end”. It is clear that this is not just a matter of solar energy, but a new trade war can be started, which will affect the green energy sector of the whole world.
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