Solar projects are on hold as U.S. investigates whether China is skirting trade rules

Solar projects are on hold as U.S. investigates whether China is skirting trade rules

Transcript¹

Hundreds of large-scale solar power projects are on hold in the U.S. as the industry awaits the outcome of a federal investigation² into potential trade violations³ involving solar panels bought from Asian suppliers.

Department of Commerce investigators⁴ hope to determine whether Chinese manufacturers are skirting longstanding U.S. duty rules on solar imports from China by funneling⁵ components⁶ through affiliates⁷ in four nearby countries — Malaysia, Thailand, Cambodia and Vietnam — where panels are assembled for export to the U.S.

The four countries at the heart of the investigation account for more than 80% of solar panel imports, according to the American Clean Power Association.

The Solar Energy Industries Association (SEIA), a Washington, D.C.-based trade group that opposes the investigation, said solar installation forecasts for 2022 and 2023 are down by 46% attributable to concerns about the inquiry⁸ — though other pressures including pandemic supply chain issues could play a role.

The group estimates a reduction of 24 gigawatts in planned solar capacity in the next two years — more than the industry installed in all of 2021.

State solar industries are in limbo⁹

In Maine, recent state climate policies and incentives¹⁰ have fueled a boom in solar development. In just two years, dozens of the state's gently rolling hills have sprouted¹¹ long rows of solar arrays.

Now, some developers say they have to push the pause button on new construction.

On a visit to one 35-acre site outside the state capital of Augusta, Leo Azevedo, procurement¹² manager for an Ireland-based company called BNRG, showed off a newly energized¹³ 9-megawatt array that can power more than 1,500 homes. Thanks in part to low-cost solar modules¹⁴ sourced from Southeast Asia, that electricity will cost Mainers less than half the going rate most of them are paying for electricity that's largely produced by fossil fuels.

But just across a long fence, there's a bigger project that would deliver electricity to Maine consumers at a price that's better still.

"Right now most of the panel manufacturers aren't actually taking orders," Azevedo says.

If the Department of Commerce finds violations in its investigation, Azevedo says, it has wide latitude¹⁵ to assess duties retroactive to the investigation's start in April — leaving the importers with much bigger bills than they anticipated when they placed their orders.

The inquiry is a quasi-judicial process intended to "ensure a level playing field for U.S. businesses and workers," said Rafael Benavides, a Commerce press secretary. Investigators will assess whether the South Asian manufacturers are subject to existing import taxes based on their relationship with Chinese suppliers and, if so, the rate at which each manufacturer's products should be taxed.

"Worst-case scenario¹⁶, you can think about retroactive tariffs¹⁷ of up to 240%," Azevedo said. "But we really don't know what it is. So there's just too much risk to order panels right now, and that's just the end of it."

In a recent industry survey, most large-scale U.S. solar developers said uncertainty¹⁸ was causing delays and cancellations, putting billions of dollars' worth of carbon-free energy capacity at risk.

"The investigation alone is wiping out a decade of solar job growth," says Abigail Ross Hopper, president and CEO of the SEIA. "It's stunning¹⁹."

She says this was supposed to be the green economy's moment in the sun.

"We have a president who believes in climate change and addressing the crisis, and we have a House and Senate that are controlled by Democrats," she says. "And there is so much we can do to help address so many of the challenges that we have."

The problem's true scope is still emerging. An Indiana utility said it had to postpone²⁰ several solar projects and will keep a coal-fired plant running years longer than planned.

A threat to Biden's climate goals

Solar panel costs have dropped dramatically in the past decade or so, and the industry's expansion had been a rare bright spot for a president whose climate ambitions have largely been stymied²¹ by political realties in Washington.

Biden set a goal of ending greenhouse gas emissions²² in the power sector²³ by 2035 — a target the White House hoped to reach through a dramatic expansion of renewable energy capacity and carbon capture and storage technology.

But if the government decides to impose retroactive taxes on the country's primary sources of solar panels, the resulting stress on the supply chain is likely to dramatically increase costs for U.S. solar installers — and put a damper on the industry's expansion.

Earlier this month, a bipartisan group of 21 senators sent a letter to the Biden administration calling on the president to resolve the issue quickly.

"Already, as a result of Commerce's decision to initiate²⁴ this investigation, industry surveys indicate that 83% of U.S. solar companies report being notified of canceled or delayed panel supply," the senators wrote. "Left unaddressed, cutting off this supply of panels and cells also could cause the loss of more than 100,000 American jobs, including approximately 18,000 manufacturing jobs."

Even some members of Biden's administration appear exasperated²⁵ by the Commerce Department's inquiry.

Testifying before the Senate Committee on Energy and Natural Resources on Thursday, Secretary of Energy Jennifer Granholm suggested that the investigation is an existential threat to the U.S. solar industry.

"At stake is the complete smothering²⁶ of the investment and the jobs and the independence we would be seeking as a nation to get our fuel from our own generation sources," Granholm said.

"Solar industry representatives and advocates have communicated these concerns to us, and we are reviewing our options, consistent with requirements about independence of such investigations," said Andrew Bates, a White House deputy press secretary.

A source familiar with the administration's thinking indicated to NPR that while the White House is concerned about the consequences of the investigation and has urged the Department of Commerce to act quickly, the slowdown is ultimately the consequence of an American business making a legally protected complaint.

The investigation process, designed to be insulated from political pressures, could stretch out for months as investigators work to understand foreign manufacturers' relationships with Chinese suppliers. A finding is expected by late August though the solar industry and its political allies are calling for a speedier review.

Benavides, the Commerce press secretary, told NPR in a statement that while industry concerns are taken into consideration as part of an investigation's damage assessment²⁷ process, they do not influence the department's inquiries²⁸ or determinations.

There is also no legal provision, he said, "that would allow us to consider political goals and priorities."

Probe began with a complaint from a U.S. solar panel manufacturer

This situation was set in motion by a San Jose solar panel maker²⁹ called Auxin Solar. In February, the company filed a petition with the Commerce Department alleging³⁰ that Chinese companies were circumventing³¹ trade duties that are supposed to keep foreign, state-subsidized companies from dumping products in the U.S. and undercutting American manufacturers.

"Yes, doom³² and gloom scenarios³³ are out there," says company CEO Mamun Rashid. "I've seen all the headlines."

Rashid has been condemned³⁴ by many in the industry, but, he says, fair trade is fair trade. If the Commerce Department decides that the solar-panel playing field needs to be leveled, he says, industry and government will find a way to cope, including by investing in domestic panel-making capacity.

"I think the business models will need to be reassessed and will be reassessed," he says. "No one is going to walk away from hundreds of millions or billion-dollar businesses."

But for now, the sector's recent surge is sputtering³⁵, putting some climate policy goals, like Maine's, in question.

At the Maine solar plant, procurement manager Leo Azevedo says his company and their partners have planned projects in the state and elsewhere that together could power tens of thousands of homes, carbon-free, and produce hundreds of construction jobs too.

"You're talking about 200 to 300 megawatts in the next three years that's at risk," he says. "So that's jobs in North Carolina, Virginia, Ohio and Indiana. So that's a lot of jobs, a lot of cheap electricity that is just in jeopardy³⁶."

"As you can see the weather outside is beautiful, but nothing's going on," adds his colleague Adam Farkes, head of construction at BNRG. The company is a partner in the proposed project near Augusta. Farkes gives a wistful look at the untouched 87-acre site where preconstruction work should be starting now.

"It seems a little bit counterproductive to have these goals for climate change and then at the same time you're not letting us build anything," he says. "We should be building."

1 transcript   

n.抄本，誊本，副本，肄业证书

参考例句：

• A transcript of the tapes was presented as evidence in court.一份录音带的文字本作为证据被呈交法庭。
• They wouldn't let me have a transcript of the interview.他们拒绝给我一份采访的文字整理稿。

2 investigation   

n.调查，调查研究

参考例句：

• In an investigation,a new fact became known, which told against him.在调查中新发现了一件对他不利的事实。
• He drew the conclusion by building on his own investigation.他根据自己的调查研究作出结论。

3 violations   

违反( violation的名词复数 )； 冒犯； 违反（行为、事例）； 强奸

参考例句：

• This is one of the commonest traffic violations. 这是常见的违反交通规则之例。
• These violations of the code must cease forthwith. 这些违犯法规的行为必须立即停止。

4 investigators   

n.调查者，审查者( investigator的名词复数 )

参考例句：

• This memo could be the smoking gun that investigators have been looking for. 这份备忘录可能是调查人员一直在寻找的证据。
• The team consisted of six investigators and two secretaries. 这个团队由六个调查人员和两个秘书组成。 来自《简明英汉词典》

5 funneling   

[医]成漏斗形：描述膀胱底及膀胱尿道交接区

参考例句：

6 components   

（机器、设备等的）构成要素，零件，成分； 成分( component的名词复数 )； [物理化学]组分； [数学]分量； （混合物的）组成部分

参考例句：

• the components of a machine 机器部件
• Our chemistry teacher often reduces a compound to its components in lab. 在实验室中化学老师常把化合物分解为各种成分。

7 affiliates   

附属企业( affiliate的名词复数 )

参考例句：

• She affiliates with an academic society. 她是某学术团体的成员。
• For example, these security affiliates participated in the floating of 19,000,000,000 of issues in 1927. 例如，这些证券发行机构在1927年的流通证券中，就提供了一百九十亿美元的证券。

8 inquiry   

n.打听，询问，调查，查问

参考例句：

• Many parents have been pressing for an inquiry into the problem.许多家长迫切要求调查这个问题。
• The field of inquiry has narrowed down to five persons.调查的范围已经缩小到只剩5个人了。

9 limbo   

n.地狱的边缘；监狱

参考例句：

• His life seemed stuck in limbo and he could not go forward and he could not go back.他的生活好像陷入了不知所措的境地，进退两难。
• I didn't know whether my family was alive or dead.I felt as if I was in limbo.我不知道家人是生是死，感觉自己茫然无措。

10 incentives   

激励某人做某事的事物( incentive的名词复数 )； 刺激； 诱因； 动机

参考例句：

• tax incentives to encourage savings 鼓励储蓄的税收措施
• Furthermore, subsidies provide incentives only for investments in equipment. 更有甚者，提供津贴仅是为鼓励增添设备的投资。 来自英汉非文学 - 环境法 - 环境法

11 sprouted   

v.发芽( sprout的过去式和过去分词 )；抽芽；出现；（使）涌现出

参考例句：

• We can't use these potatoes; they've all sprouted. 这些土豆儿不能吃了，都出芽了。 来自《简明英汉词典》
• The rice seeds have sprouted. 稻种已经出芽了。 来自《现代汉英综合大词典》

12 procurement   

n.采购；获得

参考例句：

• He is in charge of the procurement of materials.他负责物资的采购。
• More and more,human food procurement came to have a dominant effect on their evolution.人类获取食物愈来愈显著地影响到人类的进化。

13 energized   

v.给予…精力，能量( energize的过去式和过去分词 )；使通电

参考例句：

• We are energized by love if we put our energy into loving. 如果我们付出能量去表现爱意，爱就会使我们充满活力。 来自辞典例句
• I am completely energized and feeling terrific. 我充满了活力，感觉非常好。 来自辞典例句

14 modules   

n.模块( module的名词复数 )；单元；（宇宙飞船上各个独立的）舱；组件

参考例句：

• The course consists of ten core modules and five optional modules. 这门课程包括十个必修单元和五个选修单元。
• Our English course is divided into modules on poetry, drama, and novels. 我们的英语课分为诗歌、戏剧和小说等单元。 来自《简明英汉词典》

15 latitude   

n.纬度，行动或言论的自由(范围)，(pl.)地区

参考例句：

• The latitude of the island is 20 degrees south.该岛的纬度是南纬20度。
• The two cities are at approximately the same latitude.这两个城市差不多位于同一纬度上。

16 scenario   

n.剧本，脚本；概要

参考例句：

• But the birth scenario is not completely accurate.然而分娩脚本并非完全准确的。
• This is a totally different scenario.这是完全不同的剧本。

17 tariffs   

关税制度； 关税( tariff的名词复数 )； 关税表； （旅馆或饭店等的）收费表； 量刑标准

参考例句：

• British industry was sheltered from foreign competition by protective tariffs. 保护性关税使英国工业免受国际竞争影响。
• The new tariffs have put a stranglehold on trade. 新的关税制对开展贸易极为不利。

18 uncertainty   

n.易变，靠不住，不确知，不确定的事物

参考例句：

• Her comments will add to the uncertainty of the situation.她的批评将会使局势更加不稳定。
• After six weeks of uncertainty,the strain was beginning to take its toll.6个星期的忐忑不安后，压力开始产生影响了。

19 stunning   

adj.极好的；使人晕倒的

参考例句：

• His plays are distinguished only by their stunning mediocrity.他的戏剧与众不同之处就是平凡得出奇。
• The finished effect was absolutely stunning.完工后的效果非常美。

20 postpone   

v.延期，推迟

参考例句：

• I shall postpone making a decision till I learn full particulars.在未获悉详情之前我得从缓作出决定。
• She decided to postpone the converastion for that evening.她决定当天晚上把谈话搁一搁。

21 stymied   

n.被侵袭的v.妨碍，阻挠( stymie的过去式和过去分词 )

参考例句：

• Relief efforts have been stymied in recent weeks by armed gunmen. 最近几周的救援工作一直受到武装分子的阻挠。 来自辞典例句
• I was completely stymied by her refusal to help. 由于她拒不相助， 我完全陷入了困境。 来自互联网

22 emissions   

排放物( emission的名词复数 )； 散发物（尤指气体）

参考例句：

• Most scientists accept that climate change is linked to carbon emissions. 大多数科学家都相信气候变化与排放的含碳气体有关。
• Dangerous emissions radiate from plutonium. 危险的辐射物从钚放散出来。

23 sector   

n.部门，部分；防御地段，防区；扇形

参考例句：

• The export sector will aid the economic recovery. 出口产业将促进经济复苏。
• The enemy have attacked the British sector.敌人已进攻英国防区。

24 initiate   

vt.开始，创始，发动；启蒙，使入门；引入

参考例句：

• A language teacher should initiate pupils into the elements of grammar.语言老师应该把基本语法教给学生。
• They wanted to initiate a discussion on economics.他们想启动一次经济学讨论。

25 exasperated   

adj.恼怒的

参考例句：

• We were exasperated at his ill behaviour. 我们对他的恶劣行为感到非常恼怒。
• Constant interruption of his work exasperated him. 对他工作不断的干扰使他恼怒。

26 smothering   

（使）窒息， （使）透不过气( smother的现在分词 )； 覆盖； 忍住； 抑制

参考例句：

• He laughed triumphantly, and silenced her by manly smothering. 他胜利地微笑着，以男人咄咄逼人的气势使她哑口无言。
• He wrapped the coat around her head, smothering the flames. 他用上衣包住她的头，熄灭了火。

27 assessment   

n.评价；评估；对财产的估价，被估定的金额

参考例句：

• This is a very perceptive assessment of the situation.这是一个对该情况的极富洞察力的评价。
• What is your assessment of the situation?你对时局的看法如何？

28 inquiries   

n.调查( inquiry的名词复数 )；疑问；探究；打听

参考例句：

• He was released on bail pending further inquiries. 他获得保释，等候进一步调查。
• I have failed to reach them by postal inquiries. 我未能通过邮政查询与他们取得联系。 来自《现代汉英综合大词典》

29 maker   

n.制造者，制造商

参考例句：

• He is a trouble maker，You must be distant with him.他是个捣蛋鬼，你不要跟他在一起。
• A cabinet maker must be a master craftsman.家具木工必须是技艺高超的手艺人。

30 alleging   

断言，宣称，辩解( allege的现在分词 )

参考例句：

• His reputation was blemished by a newspaper article alleging he'd evaded his taxes. 由于报上一篇文章声称他曾逃税，他的名誉受到损害。
• This our Peeress declined as unnecessary, alleging that her cousin Thornhill's recommendation would be sufficient. 那位贵人不肯，还说不必，只要有她老表唐希尔保荐就够了。

31 circumventing   

v.设法克服或避免（某事物），回避( circumvent的现在分词 )；绕过，绕行，绕道旅行

参考例句：

• They found a way of circumventing the law. 他们找到了规避法律的途径。
• This viewpoint sees the Multinational Corporation as capable of circumventing or subverting national objectives and policies. 这种观点认为，跨国公司能够遏制和破坏国家的目标和政策。 来自辞典例句

32 doom   

n.厄运，劫数；v.注定，命定

参考例句：

• The report on our economic situation is full of doom and gloom.这份关于我们经济状况的报告充满了令人绝望和沮丧的调子。
• The dictator met his doom after ten years of rule.独裁者统治了十年终于完蛋了。

33 scenarios   

n.[意]情节；剧本；事态；脚本

参考例句：

• Further, graphite cores may be safer than non-graphite cores under some accident scenarios. 再者，根据一些事故解说，石墨堆芯可比非石墨堆芯更安全一些。 来自英汉非文学 - 环境法 - 环境法
• Again, scenarios should make it clear which modes are acceptable to users in various contexts. 同样，我们可以运用场景剧本来搞清楚在不同情境下哪些模式可被用户接受。 来自About Face 3交互设计精髓

34 condemned   

adj. 被责难的, 被宣告有罪的 动词condemn的过去式和过去分词

参考例句：

• He condemned the hypocrisy of those politicians who do one thing and say another. 他谴责了那些说一套做一套的政客的虚伪。
• The policy has been condemned as a regressive step. 这项政策被认为是一种倒退而受到谴责。

35 sputtering   

n.反应溅射法；飞溅；阴极真空喷镀；喷射v.唾沫飞溅( sputter的现在分词 )；发劈啪声；喷出；飞溅出

参考例句：

• A wick was sputtering feebly in a dish of oil. 瓦油灯上结了一个大灯花，使微弱的灯光变得更加阴暗。 来自汉英文学 - 家（1-26） - 家（1-26）
• Jack ran up to the referee, sputtering protest. 贾克跑到裁判跟前，唾沫飞溅地提出抗议。 来自辞典例句

36 jeopardy   

n.危险；危难

参考例句：

• His foolish behaviour may put his whole future in jeopardy.他愚蠢的行为可能毁了他一生的前程。
• It is precisely at this juncture that the boss finds himself in double jeopardy.恰恰在这个关键时刻，上司发现自己处于进退两难的境地。