Safeguard duty imposed on imports of solar cells from China and Malaysia for two years

New Delhi, July 31 (KNN) In a move to protect the domestic industry from sharp rise in import of solar cells, a safeguard duty has been imposed in the imports of the product from China and Malaysia for two years.

The move comes after several recommendations were made to the Directorate General of Trade Remedies (DGTR), under the commerce ministry.

As per the notification of the finance ministry, 25 per cent safeguard duty have 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.

After the investigations, the DGTR concluded that the increased imports of solar cells in India have caused “serious injury” and “threaten to cause serious injury” to the domestic producers.

“It will be in the public interest to impose safeguard duty on the imports for a period of two years,” the DGTR had said. It has also stated that there has been a significant increase in imports of the cells in absolute terms. India has produced 842 MW solar cells in 2017-18. The period of investigation was 2014-15 to 2017-18.

The imports of the cells has increased to 9,790 MW in 2017-18 from 1,275 MW in 2014-15.

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 – had filed a plea with the DGTR seeking imposition of safeguard duty on the imports. (KNN Bureau)