Negative Impact on Business
According to the US International Trade Commission (ITC) on October 17, US electric car company Tesla recently filed an objection against the ITC's safeguard investigation into import solar cells and modules.
Tesla took over and merged with SolarCity last year, tapping into the solar panel installation business, and importing necessary solar cells and modules. If import solar panel prices rise due to import regulations such as antidumping duties by the safeguard, Tesla's business operation costs have no choice but to rise.
Import restrictions by the safeguard can have a negative impact on Tesla's US production plans, said a representative of Tesla currently building a solar cell and module plant in the US.
Tesla said the company opposed any import restrictions on fairly traded solar cells and modules. In particular, the company took issue with limiting imports of solar cells which are components of modules.
Tesla said that raising prices of imported cells and modules artificially may help the US solar cell and panel industry for a while but it cannot solve the problem of the industry’s competitiveness. The representative claimed that financial and technical support for the US cell and panel industry, rather than import regulations, was an appropriate measure.
Previously, the ITC judged that the US solar industry was seriously damaged by imported solar cells including those from Korea. The ITC will offer specific safeguard measures to President Donald Trump by November 13 and President Trump is expected to decide the final action in January of next year.