Experts Say New Solar Tariffs Will Cost Thousands of Jobs, Slow Solar Adoption
President Trump announced a 30 percent tariff on imported solar panels in an effort to curtail illegal trade practices by Chinese manufacturers. Many U.S. solar experts say the move favors fossil fuels, resulting in higher solar installation costs, and a costly lost opportunity for domestic manufacturers.
According to an Axios analysis, "the order will lead to minimal investment in U.S. solar factories, net loss of jobs in the booming solar installation industry (potentially a loss of 10 percent) and potent trade retaliation from China." The Solar Energy Industries Association said the decision will delay, or cancel billions in solar development and investment. Industry observers say the new tariff, starting now at 30 percent and decreasing over four years to 15 percent, will make many current installations "prohibitively expensive," per Curbed.
The government issued the ruling on the behest of U.S.-based (but foreign-owned) companies Suniva and SolarWorld, according to the Washington Post, who complained that cheap Chinese panels, backed by state subsidies, allow them to sell at a price they can’t match. This decision is the latest move in a decade’s worth of debate over China’s subsidizing of its domestic solar industry.