Directorate General of Trade Remedies under Piyush Goyal Minister of Commerce & Industry has revealed that the safeguard duty on solar cells imported from China,Thailand and Vietnam will continue for a further one year. safeguard duty starting from 31 July, 2020. However, Southeast Asian country Indonesia and Malaysia have been exempted.
What is the issue?
The import of solar cells from certain nations have been affecting the domestic solar industry. Therefore, it is necessity to restraint them to protect the domestic industries. safeguard duty imposed by the Finance Minister and DGTR.
What is Safeguard Duty?
The delivery of safeguard duty is provided by General Agreement on Tariffs and Trade (to promote international ) 30 October, 1994. Safeguard allows a member of World Trade Organization to temporarily restrict imports of a product to safeguard its domestic industry.
The China Factor
India import huge portion of solar cells from China. This is because, in 2018 when People’s Republic of China faced hindrances in exports to United States of America and EU, it turned to India.
India Duty on Solar Cells from China India Duty on Solar Cells from China