Opinion: Let China pay for India’s solar push
The safeguard duty on solar cells and modules from China and Malaysia is wholly counterproductive
It is a well-known fact that China’s solar sector is highly subsidized. This was the official reason for US President Donald Trump’s announcement of a 30% tariff on imported solar equipment in January as Chinese solar companies undercut US solar manufacturers. The Narendra Modi government is walking down the same path; it has imposed a safeguard duty (SGD) on solar cells and modules from China and Malaysia, effective 30 July. About 85% of India’s solar cells come from both countries. The argument for such a trade intervention is the rising “dependency" on China on one hand and economic and employment loss on the other.