US targets China by ending tariff exemption for some solar imports

The US government is cancelling tariff exemptions for certain solar imports.

The latest step is aimed primarily at China, an economic rival and the second-largest economy behind the United States.

The White House said loopholes for imports via third countries were being closed and that tariff exemptions for bifacial, or double-sided, solar modules were coming to an end.

Bifacial models can not only convert solar radiation from above into electricity, but also absorb reflected radiation via the back.

"These actions will provide a boost to domestic solar producers, but the impact of Chinese oversupply on US investments in the solar market remains a challenging issue," said John Podesta, a White House senior adviser on clean energy.

The proportion of bifacial modules in US imports was once low - but this has changed drastically. The US government says hardly any other solar modules are now being imported, as this is now the dominant technology.

A tariff exemption for the import of solar modules from four Asian countries into the US - Cambodia, Malaysia, Thailand and Vietnam - is also to be ended. The US government argues that China imports solar modules into the US via these countries at artificially low prices and avoids customs duties.

Biden authorized the 24-month tariff exemption two years ago in order to ensure sufficient supply. Since then, however, the production of solar modules in the US has increased dramatically.

On Tuesday, Biden announced that special tariffs of 100% would be imposed on electric cars from China - effectively removing them from the US market because the final price would be too high for the vast majority of car buyers.

China accuses Biden an election campaign manoeuvre ahead of the upcoming presidential vote in November - and has threatened consequences.