Tarifs on solar imports, not a good deal for the US economy.
Tarifs on solar imports, not a good deal for the US economy.
In January 2018, the Trump Administration imposed tariffs on the importation of solar cells and modules as part of its larger trade strategy. Solar cells are connected to create modules, also known as solar panels, which may be installed by consumers at residential properties or by operators at utility-scale facilities.
In February 2018, imported solar products were subject to a 30 % tariff in the first year of the tariff’s implementation that would decrease by 5 % each year to 15 % in 2022. Just recently, the Biden administration decided to extend Trump's solar panel tariffs for four more years. The overall goal is the same as it was under Trump: to raise the price that consumers will pay for imported solar panels and their component parts.
As an importer of solar products, I can tell you that the higher prices created by tariffs are passed along the supply chain. Tariffs mean higher prices, and higher prices mean less consumption. This is just basic economics.
Edouard N. Simon