US lawmakers want to crack down on imports of solar panels that they claim are evading duties

According to a letter obtained by the, a bipartisan group in the U.S. Congress urged on Thursday that Trump's administration crackdown on imports of partially finished solar cells. They claim these are being used to avoid trade duties and to improperly claim "federal manufacturing" tax credits. The long-running U.S. campaign to stop what solar panel manufacturers claim are efforts to avoid tariffs has led to the debate over blue wafers. About 80% of the global solar supply is supplied by Chinese companies, many of which have moved their manufacturing overseas to cater to the U.S.

The letter was signed by Republican Representatives Mike Bost and Pat Harrigan and Democratic?Representatives Ro?Khanna and Marc Tur. It asks Customs and Border Protection and Internal Revenue Service to?take action against importers who are importing blue wafers - thin slices of ultrapure silicon that have been processed in a way to allow them to produce electricity.

Some companies import the products in order to avoid U.S. tariffs on solar cells. They then complete the final processing and claim federal tax credits meant to support domestic manufacturing.

The letter stated that "this duty evasion, and tax fraud is harming U.S. Energy Manufacturers and placing them in a clear disadvantage of competition." The United States has tried to limit the importation of solar cells made by Chinese companies through tariffs and tax policies that support domestic producers. Solar cells produced in China and other Asian countries are subject to antidumping and countervailing duty. Solar Energy Manufacturers for America Coalition members First Solar, Hanwha Qcells and Hanwha are among those who praised this letter.

In a recent statement, Rob Gardner, Vice President of Congress and Regulatory Affairs for the SEMA Coalition said that SEMA Coalition members had "invested billions and created thousands of high-quality American jobs" to build a domestic manufacturing industry. (Reporting and editing by Nichola Feast; reporting by Nichola Froom.)

(source: Reuters)