Taiwan Pulls India to WTO’s Safeguard Committee on Solar Imports


After Malaysia, now Taiwan seeks consultation with India on import duties under the World Trade Organisation’s (WTO) Agreement on safeguards

Taiwan has started a consultation process under the World Trade Organisation’s (WTO) Agreement in opposition to India’s move to impose 25 per cent tax on solar cells imports. India has decided to levy safeguard duty on solar cells’ imports from China and Malaysia for a period of two years.

It has been reported that Taiwan hopes for India’s positive response to hold discussions under the forum at the earliest. The global trade body’s Agreement on Safeguards accounts for emergency measures that a government can refer to in case of a rise in import duties of a product has a negative impact on the industry. The objective is sharing views on proposed measures and mutual understanding on issues. It does not come under the formal dispute process.


Solar cells imports

Earlier, in July, India imposed a 25 per cent tax on imports from the two countries. However, it was put on hold until August 13. The move was aimed at protecting the local industries from the rising competition. The country imports solar cells mainly from China, Malaysia, Singapore and Taiwan. Of this, 90 per cent of solar cells imports come from Malaysia and China.

India’s decision to impose import tax has become a major issue with Taiwan and Malaysia. The latter has already sought for a discussion. Taiwan houses some of the world’s major solar cells producing companies like DelSolar, Motech and Neo Solar Power.



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