Tiếng Việt
中文 (中国)
Recently, the US Department of Commerce (DOC) announced an extension of the time to issue the final conclusion in the case of anti-circumvention investigation of photovoltaic cells products from Vietnam and three other Southeast Asian countries which is Cambodia, Malaysia, Thailand.
In 2012, the U.S. Department of Commerce determined that China was subsidizing its photovoltaic cells product manufacturers, and through that, Chinese manufacturers were selling their products at lower prices than fair value in the United States.
Accordingly, the United States has issued anti-subsidy and anti-dumping duties on imported Chinese photovoltaic cells products. Since applying anti-dumping and anti-subsidy measures, China has transferred photovoltaic cells products subject to anti-dumping and anti-subsidy measures to Malaysia, Vietnam, Thailand and Cambodia.
In February 2022, US domestic manufacturers filed a petition asking the DOC to investigate Malaysia, Vietnam, Thailand, and Cambodia’s practice of circumventing trade remedies in photovoltaic cells products.
However, by June 2022, for the purpose of green energy, the administration of US President Joe Biden has issued a 2-year duty exemption order regarding circumvention of trade remedies for photovoltaic cells products imported from four Southeast Asian countries, citing the Defense Production Act, even if the Department of Commerce confirm that these countries engaged in evasive behavior.
In December 2022, the US Department of Commerce announced preliminary decisions affirming anti-circumvention of trade remedies of Cambodia, Malaysia, Thailand and Vietnam.
However, because of the above duty exemption order, Vietnamese enterprises currently do not have to pay additional duty fees to the original export price.
Since then, the US Department of Commerce is still collecting evidence and documents to issue the final conclusion on the anti-circumvention investigation. The deadline for a final conclusion is May 1, 2023.
However, with the issuance of Notice No. A-570-979, citing the reasons for receiving numerous case summaries and rebuttals, the US Department of Commerce needed more time to consider and examine, the deadline for issuing the final conclusion of the investigation will be extended for the second time, until August 17, 2023.
Currently, if the final conclusion is reached, photovoltaic cells products will not be subject to anti-circumvention duty, at least until June 2024. However, Vietnamese enterprises producing photovoltaic cells products will not be taxed. Photovoltaic cells manufacturers under investigation should still pay attention to the case because recently there have been many moves and pressures from the US House of Representatives and the US Senate demanding President Joe Biden to drop the duty exemption order.
Therefore, businesses should contact a reputable law firm on anti-dumping and trade remedies to receive support and advice during the investigation and duty imposition to avoid being shocked if 254% duty on photovoltaic cells products exported to the United States is applied.
The Notice can be downloaded here.
ASL LAW is the top-tier Vietnam law firm for Anti-dumping & countervailing. If you need any advice, please contact us for further information or collaboration.
