US Considers Trade Barriers Against China Amid Clean Energy Manufacturing Overcapacity Concerns, Yellen Announces.

The US is considering imposing trade barriers to combat overcapacity for clean energy manufacturing in China, according to Federal Trade Commissioner Janet Yellen. This comes as major players, including JA Solar, Canadian Solar and Hanwha Qcells, have announced plans to manufacture in the US. The majority of solar modules entering the US are from China or Chinese companies. Yellen did not specify what further regulations or tariffs might look like. The US already operates its antidumping and countervailing duty (AD/CVD) tariffs on several Chinese sectors, including solar. These tariffs were amended by the Department of Commerce last week to extend their reach beyond China to cover investments into other countries under the Belt and Road Initiative. The Chinese government has requested the World Trade Organisation (WTO) to investigate the IRA over “discrimination against goods of Chinese origin”.