As of early June, U.S. Department of Commerce (D.O.C.) will issue its preliminary anti-subsidy findings during its second “Anti-dumping and Anti-subsidy” investigation over imports of PV products from China (the Investigation). At this critical moment, we, Chinese Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME), Chinese Renewable Energy Society (CRES), China Photovoltaic Industry Alliance (CPIA), Chinese Renewable Energy Industries Association (CREIA), and Asian Photovoltaic Industry Association (APVIA), representing China-based PV industry, hereby make this Joint Statement to strongly oppose the Investigation. We urge U.S and Chinese governments to solve the trade disputes through bilateral consultation and negotiation. For which purpose, we would like to reiterate that:
I. China-based PV Industry is neither dumping, nor illegally subsidized. The accusations against China-based PV Industry are ungrounded.
With better cost performance, better product quality and better after-sales services, Chinese PV products have earned worldwide recognitions and preferences among consumers. It is completely a choice of the market which is made out of the principle of fair competition.
In 2011, when D.O.C. initiated the “Anti-dumping and Anti-subsidy” investigation for the first time, China-based PV Industry has presented numbers of evidences proving the non-existence of any so-called “dumping and illegal subsidy”. Unfortunately, D.O.C., together with the petitioner, ignored the reasonable defenses by China-based PV Industry, and, without considering the immense negative impact to the cooperation between U.S.-China PV industry and the tremendous damage to U.S downstream companies that trade protectionism could cause, determined to impost high percentage anti-dumping and countervailing duties. With the initiation of this second Investigation in 2014, not only the established rules of origin were overlooked, international trade rules were broken, which brought about extremely unwanted effects.
II. The PV Industry is a worldwide industry which makes both China and the U.S. could suffer greatly from any artificial obstacles.
In the past decade, benefiting from the fast development of technology within the PV Industry, market price of PV products has declined dramatically. Meanwhile, the continuous improvement of the cell efficiency conversion rate has also enabled the popularization of the PV power generation. All of which was because of the highly efficient cooperation within the PV Industry under the global division of labor.
PV Industry in China and all the other countries has formed an Interests Community that complements each other’s advantages. By developing itself, China-based PV Industry also brought more opportunities and vitalities to the development of the worldwide PV Industry as a whole. China-based PV companies have built a close cooperation relationship with equipment and raw materials suppliers, as well as downstream distributors, installers and technical service providers from the U.S., which positively contributed in every way in helping the U.S. government with releasing its employment pressure.
Protectionism in any form or punitive duties at any level will at the same time negatively impact China-based PV companies and become an obstacle in front of the development of the PV application in the U.S., which will in turn significantly harm the real economy and employment of the U.S.
III. In pursuit of its own interests, Solar World has kidnapped the PV industry in both China and the U.S. which not only has damaged the normal trade contacts but also will elevate the trade conflict between the two countries.
In pursuit of its own interests, Solar World has repeatedly brought up unreasonable claims against China-based PV companies. This unjustifiable dogfight has kidnapped the PV industry in both China and the U.S., not mentioning the damages it has caused to the China-based companies. The ceaseless creation of trade friction could only undermine the trade relationship between the two major economies.
We, therefore, strongly urge the U.S. government to properly solving the trade disputes between the two countries and to create an environment for the fair and free development of the PV Industry, for the sake of Sino-U.S. trade cooperation and the establishment of a new model of major power relationship. In the meantime, China-based PV companies will continue to actively respond to the investigation and will endeavor to protect its own legal interests.
Chinese Chamber of Commerce for Import and Export
of Machinery and Electronic Products
Chinese Renewable Energy Society
China Photovoltaic Industry Alliance
Chinese Renewable Energy Industries Association
Asian Photovoltaic Industry Association
May 21, 2014