Govt imposes safeguard duty on solar cells import from China and Malaysia
DGTR in its investigations has concluded that the increased imports of solar cells in India have caused "serious injury" and "threaten to cause serious injury" to the domestic producers.
This comes following recommendations by the Directorate General of Trade Remedies (DGTR), under the commerce ministry.
As per the notification of the finance ministry, 25 per cent safeguard duty has been imposed for July 30 to July 29, 2019, which will gradually come down to 20 per cent during July 30, 2019, to January 29, 2020 and 15 per cent during January 30, 2020 to July 29, 2020.
"After considering the said findings of the DGTR...hereby imposes on subject goods (solar cells whether or not assembled in modules or panels)...when imported into India, a safeguard duty," the notification said.
An application dated November 28, 2017, has been filed before the DGTR on December 5, 2017 by the Indian Solar Manufacturers Association (ISMA) on behalf of five Indian producers -- Mundra Solar PV Ltd, Indosolar Ltd, Jupiter Solar Power, Websol Energy Systems, and Helios Photo Voltaic -- seeking imposition of safeguard duty on the imports.
The applicants had claimed that on account of the surge in imports of the cells, many domestic producers have kept their production facilities almost idle and the heavy losses have crippled the domestic industry.
For this reason, the applicants had requested for the imposition of the provisional duty as a measure to mitigate their injury.
The DGTR is mandated to investigate the existence of serious injury or threat of serious injury to the domestic industry as a consequence of increased import of an article into India.
India is targeting to 100 gigawatts (GW) solar capacity by 2022.
Solar cells, electrical devices that convert sunlight directly into electricity, are imported primarily from China, Malaysia, Singapore and Taiwan.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)