US accuses Chinese companies of evading solar panel tariffs

WASHINGTON: Several Chinese manufacturers of solar panels have been shipping their products through third countries including Thailand and Vietnam to circumvent US tariffs, the Commerce Department announced Friday.

“Commerce found that five companies were attempting to avoid the payment of US duties by completing minor processing in third countries,” the Commerce Department said in a statement.

It named the companies as BYD Hong Kong, New East Solar, Canadian Solar, Trina Solar and Vina Solar.

In 2022, the White House suspended tariffs for two years on solar panel imports from Cambodia, Malaysia, Thailand and Vietnam — but not China — in order to ensure the United States has access to the relevant parts to build up its domestic solar industry.

On Friday, the Commerce Department announced that “certain unexamined companies” were also found to be circumventing the White House order, and that three firms initially suspected of engaging in the practice were found not to be doing so.

The Commerce Department said its move “does not constitute a ban on imports” from Cambodia, Malaysia, Thailand and Vietnam, adding that the companies identified could still follow a process to certify that they were not circumventing the order.