In order to evade high punitive anti-dumping tariffs imposed in the US market,some first-tier China-based solar makers are seeking cooperation with Taiwan-based makers of crystalline silicon solar cells.China-based solar firms hope to set up solar module joint ventures located in Taiwan or in a third country.The solar modules would adopt Taiwan-made solar cells for export to the US or other markets to avoid the anti-dumping duties,according to industry sources in Taiwan.
The high anti-dumping duties that range from 31-250%announced by the US government are only for China-made solar cells and solar modules that contain solar cells made in China.This means as long as the China-made solar modules are using solar cells produced outside of China,the products can be sold in the US market without suffering the high duties.This has been causing a stir since most China-based solar firms have high capacities for solar modules.Some US-based firms are reportedly filing requests to the government to extend the anti-dumping duties to China-made solar modules.
Nevertheless,China-based solar firms have been considering possible cooperation with Taiwan-based solar cell makers to avoid being taxed.There is also a possibility that China-based solar firms will invest in Taiwan-based solar firms for module production.
Industry sources indicated that the total capacity of Taiwan's solar cell supply chain is about 10GW.Current capacity utilization rates of most solar firms have been reaching 70-80%to support orders from China,Japan and Europe.
With capital injections from China,Taiwan-based solar firms are likely to increase competitiveness in producing solar modules,said industry sources.In addition,by selling solar modules to China-based peers,the obstacle of obtaining distribution channels can be solved.
Europe may begin similar investigations against China-based solar firms,said industry sources.Cooperating with Taiwan-based firms is a strategy worth considering for China-based peers.
Solar firms located in South Korea and Malaysia are also likely to benefit from the high anti-dumping duties on China-based solar firms.
Taiwan solar cells gain momentum from anti-dumping duties on China firms
