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Safeguard on U.S. solar panels: the Mexican case

12 julio, 2024
English
Salvaguarda relativa aos painéis solares dos EUA: o caso do México

The Mexican government requested the exemption of Mexican exports to the U.S. market of bifacial solar panels from U.S. safeguard measures.

Last mid-May, the U.S. government placed imported bifacial solar panels back under Sec. 201, after special solar panels enjoyed a two-year exemption from additional duties first initiated by President Biden in 2022.

Economy Secretary Raquel Buenrostro sent a letter to U.S. Trade Representative Katherine Tai requesting «the urgent need» for these Mexican exports to be exempted,

«In the missive, Secretary Buenrostro stressed that such restrictions could result in the closure of factories that are part of the supply chain in North America, which would lead to the loss of hundreds of skilled jobs,» said the Ministry of Economy, according to a press release issued on Friday. 

Solar Panels

The U.S. decision is part of the President’s exclusive right to make changes to ongoing tariffs under Sec. 201 of the Trade Act of 1974, after the U.S. International Trade Commission (USITC) filed its mid-term report in February of this year. 

All imported solar panels (regardless of country of origin, with a few minor exceptions) currently have a 14.25% tariff as a way to protect domestic solar panel manufacturers from cheaper products from abroad.

Buenrostro added that this situation would contravene both governments’ shared objectives of protecting jobs in the region and encouraging the transition to sustainable energy. 

Likewise, the Ministry of Economy emphasized the need to resolve this matter in strict adherence to the Treaty between Mexico, the United States and Canada (USMCA), taking into consideration the precedents in this matter under the same framework, with the objective of reaching an agreement that benefits workers in both countries without the need to escalate the dispute to instances in which both economies would be affected. 

«The Ministry of Economy reaffirms its commitment to look out for the interests of workers and promote sustainable development in North America,» it said.

 

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