Safeguard Duty On Solar Panels

Last week the directorate general of trade restrictions dgtr recommended that safeguard duty on solar panels and modules imported from china and malaysia should be imposed for two years 25 for the first year 20 for the first six months of the second year and 15 for the remaining six months. The 25 per cent safeguard duty on solar panels cells imported from china and malaysia has had both domestic manufacturers of cells and solar energy companies beating their foreheads on the desk. These include antidumping and countervailing duties adcvd on solar imports from various countries including china and taiwan and more recently safeguard duties that were imposed by the president in response to recommendations reported on by the itc.

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The safeguard duty notification is based on an investigation carried out by the directorate general of trade remedies dgtr which had recommended the imposition of 25 safeguard duty on solar panels from china and malaysia for one year followed by 20 for the next six months and 15 for another six months.

Safeguard duty on solar panels.

Seeks to impose safeguard duty on imports of solar cells whether or not assembled in modules or panels falling under heading 8541 of the customs tariff act 1975 for a period of. The safeguard duty on imports of solar cells and modules from china and malaysia was announced in july 2018 to protect domestic cell and module manufacturers. The safeguard duty of 25 percent on solar modules and cells will be in force from july 30 2018. The duty typically imposed during import surges is meant to.

India imposed a safeguard duty in july 2018 for two years. The duty was pegged at 25 for the first year 20 for the next six months and 15 for the last six month period. The ministry of finance department of revenue levied the duty based on the final recommendations proposed by the directorate general of trade remedies dgtr. The government has levied safeguard duty of 25 percent on solar imports from china and malaysia.

The directorate general of trade remedies recommended the imposition of safeguard duty on chinese solar imports for one more year at 14 9 for the first six months from july 30 and 14 5 for the following six months. On monday july 30 the narendra modi government notified a 25 safeguard duty on imported solar panels for a period of two years. Before it was imposed around 90 of solar panels and modules used in local solar projects were imported mostly from china and malaysia as they were cheaper than locally manufactured ones. Domestic solar manufacturers hail extension of safeguard duty on chinese equipment.

The duty was set at 25 for the first year followed by a phased down approach for the second year with the rate reduced by 5 every six months until the duty is set to end after july 2020. Safeguard duty on solar cells whether or not assembled in modules or panels falling under heading 8541 or tariff item 8541 40 11 of the first schedule to the customs tariff act for a period of two year.

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