Powering Strong Communities

President Biden Vetoes Proposal that Called for Repeal of Solar Tariffs Moratorium

President Biden on May 16 vetoed a Resolution, passed by Congress, that called for ending a moratorium on new tariffs imposed on solar equipment imports from Malaysia, Thailand, Vietnam, and Cambodia.

The U.S. Senate in early May voted 56 – 41 to pass H.J. Res. 39, a Joint Resolution Disapproving the Rule Submitted by the Department of Commerce Relating to “Procedures Covering Suspension of Liquidation, Duties and Estimated Duties in Accord With Presidential Proclamation 10414.” The House passed the Resolution in April by a vote of 221 – 202.

The Congressional Review Act resolution called for ending the two-year suspension, until June 2024, of new tariffs imposed on solar equipment imports from Malaysia, Thailand, Vietnam, and Cambodia, that were enacted based on preliminary findings from the Department of Commerce that Chinese solar companies are circumventing tariffs by routing their products through these countries.

“America is now on track to increase domestic solar panel manufacturing capacity eight-fold by the end of my first term,” Biden said in vetoing the measure. “But that production will not come online overnight.”

He said that the Department of Commerce’s rule “supports American businesses and workers in the solar industry and helps provide sufficient, clean, and reliable electricity to American families, while continuing to hold our trading partners accountable.”

He noted that 51 new and expanded solar equipment manufacturing plants have been announced since he took office.  

“The rule implements a temporary, 24-month bridge to make sure that when these new factories are operational, we have a thriving solar installation industry ready to deploy American-made solar products to homes, businesses, and communities across the Nation. Given the progress we are making on American solar, I do not intend to extend the tariff suspension at the conclusion of the 2-year period in June 2024,” Biden said.