The Chinese Ministry of Commerce has warned domestic producers that India may begin in a month investigation whether China is ‘dumping’ solar cells on its market, according to a report.
The statement was a sign that a trade dispute between China and the US, involving solar-energy products, has expanded into India. China’s exports touched US$ 214 million worth of solar panels last year.
Burdened with over capacity, the Chinese solar panel industry sees India as a major market. But the Indian officials say that the Chinese industry should look at investing in India than dumping the products.
Under the Jawharlal Nehru National Solar Mission, India offers zero tariffs on manufacturing equipment besides various other incentives. The Chinese industry should take advantage of that and shift their manufacturing to India than depending on exports alone, Abhishek Singh, Second Secretary in the Economic and Commercial section of the Indian Embassy said reacting to the Chinese concerns.
Chinese experts say that China is likely to see more trade disputes arise over the energy industry in the future. “India is an emerging market for the solar panel industry and is not a big importer from China,” said Gao Hongling, deputy secretary general of the China Photovoltaic Industry Alliance.
“In the first 10 months of the year, up to 90 per cent of China’s photovoltaic solar products were exported to the US and Germany, Belgium and other European countries,” he said referring to the US and EU initiating anti-dumping investigations into Chinese solar panel imports.