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U.S. adds anti-dumping duties to wind turbine towers from China and Vietnam

Fresh off the heels of imposing anti-dumping duties on Chinese solar manufacturers (see related story), the U.S. Department of Commerce has again found foreign manufacturers of renewable energy technologies to be selling their products at unfairly low prices.

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This time, the Commerce Department found that manufacturers of wind turbine towers from both China and Vietnam dumped the products in the United States, materially injuring the U.S. wind tower industry.

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The Commerce Department investigation was the result of a complaint brought on December 29, 2011 by the Wind Tower Trade Coalition, a coalition of U.S. producers of utility scale wind towers.

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Utility scale wind towers were defined as those with a minimum height of 50 meters for turbines with generating capacities in excess of 100 kilowatts.

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In its final results, Commerce found that Chinese producers dumped towers in the United States and set anti-dumping duties of between 44.99 to 70.63 percent while Vietnamese producers got duties between 51.50 to 58.49 percent.

Additional countervailing duties if 21.86 to 34.81 percent were given to the Chinese manufacturers in response to subsidies afforded to them by the Chinese government.

"These final results are an important step in remedying the material injury already suffered by the U.S. industry and will force the Chinese and Vietnamese producers to compete fairly," said Alan H. Price, partner in Wiley Rein’s International Trade Practice and lead counsel to the WTTC.

According to Mr. Price, the surge in dumped and subsidized imports from abroad have seen the U.S. wind industry losing market share and profits at a time when they should have been profitable – during the recent surge of wind power installations seen these past two years.

Last year, the U.S. imported $222 million worth of wind towers from China and $79 million from Vietnam.

While the determination by Commerce establishes the final A.D. and C.V.D. margins I the investigations, the decision is still scheduled to go through a final determination from the U.S. International Trade Commission on or before January 31, 2013.

The manufacturers facing the A.D. and C.V.D. measures are China’s Titan Wind Energy Suzhou Co., CS Wind Corp., Sinovel Wind Group Co., and Guodian United Power Technology Baoding Co, and Chengxi Shipyard Co. and Vietnam’s CS Wind Group. – K. Jalbuena

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