Trade & Investment
Stiff solar duties may backfire
Last Updated:2013-05-14 00:00 | Shanghai Daily
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Europe's proposed punitive duties on Chinese products will eventually hurt Europe itself, according to Chinese solar firms as industry leaders gathered in Shanghai for Asia's major photovoltaic trade fair that starts today.

"The word 'punitive' itself is unacceptable. Anything wrong with what we have done," asked Qian Jing, global brand director of New York-listed Chinese manufacturer JinkoSolar Holding.

Qian said Chinese solar companies could not absorb the high duties and they would pass on the extra costs to customers and governments in Europe.

Yuan Quan, marketing manager for Jiangsu Province-based Phono Solar, said the proposed European duties will be a "heavy blow" to Chinese manufacturers but he's still optimistic about the long-term outlook of the solar industry.

Yuan said though the duties may offer an immediate relief to European solar panel makers like Germany's SolarWorld, they could also seriously hurt some European firms which supply machinery to solar panel producers.

He urged the Chinese government to negotiate with the European Commission immediately.

Last week, the European Commission agreed to impose provisional duties averaging 47 percent on Chinese solar panels by June 6, accusing Chinese companies of dumping cheap products there following the biggest antidumping investigation launched by it. China's ambassador to the World Trade Organization has called the decision to levy duties a mistake and a signal of protectionism.

The SNEC 2013 PV Power Expo, which ends on Thursday at the Shanghai New International Expo Center, has drawn 1,500 exhibitors.

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