After months of hypothesis over precise and potential disruption to the U.S. photo voltaic market stemming from the U.S. Division of Commerce’s pending investigation into circumvention of duties by photo voltaic panel producers in Cambodia, Malaysia, Thailand, and Vietnam, the White Home declared an emergency on June 6, 2022 and directed the Secretary of Commerce to think about using emergency powers to allow photo voltaic panel producers to import panels from Cambodia, Malaysia, Thailand, and Vietnam free from any circumvention duties for as much as two years. The President directs the Secretary of Commerce to seek the advice of with the Secretary of the Treasury and Secretary of Homeland Safety earlier than making any resolution.
As a sensible matter, given the declaration of emergency and the clear desire of the President, it’s probably that the Secretary of Commerce will resolve to permit the importation of panels from Cambodia, Malaysia, Thailand, and Vietnam free from circumvention duties till June 2024. The EO excepts photo voltaic panels from Cambodia, Malaysia, Thailand, and Vietnam which are “already topic to an antidumping or countervailing obligation order as of” June 6, 2022. Business associations welcomed the President’s actions as offering the readability that the market wants to permit photo voltaic initiatives to proceed. It stays to be seen whether or not and the way the home photo voltaic business will problem this government order and what if any steps the home photo voltaic business will absorb response. Commentators are already noting that the authority on which the President primarily based his dedication doesn’t appear relevant to the present scenario and predicting authorized challenges. Prudence dictates that events to paused offers proceed to attend to make sure that the Secretary of Commerce makes the dedication that the emergency declaration contemplates, however as soon as that occurs, deal stream will probably resume at regular ranges.
Foley’s Renewable Power apply has deep expertise in all elements of the photo voltaic business, in addition to in depth expertise with the Division of Commerce. If in case you have any questions on this emergency declaration, Commerce’s response, or its influence on your online business, please contact Mike Walsh, Jeff Atkin, or your Foley lawyer. Jeff is the co-chair of Foley’s Power apply, and Mike is the previous chief of workers and appearing basic counsel on the U.S. Division of Commerce.
