The student news site of Pleasant Valley High School

Spartan Shield

The student news site of Pleasant Valley High School

Spartan Shield

The student news site of Pleasant Valley High School

Spartan Shield

New import tariffs cast cloud of uncertainty over American solar energy

The Trump administration’s energy policies have long been a source of controversy in the renewable energy sector. Last week, however, marked a turning point for the administration’s treatment of a specific area of the industry – in issuing new import tariffs on solar panels, Trump is attempting to apply his “America First” philosophy to the world of renewables.

By the end of 2018, the tariff will raise imported solar cell and panel prices by 30 percent, giving American solar panel makers an edge over foreign competitors. The price hike echoes a recommendation from the International Trade Commission and a similar measure taken by the European Union in 2013. The CEO of panel manufacturer SolarWorld USA praised the move, saying he is “hopeful it will be enough to address the import surge and to rebuild solar manufacturing in the US.”

Others, however, are not so sure that the tariff’s benefits outweigh the risks. Some fear that foreign companies will urge their own countries to implement similar tariffs. Both China and South Korea – the government-subsidized powerhouses of the affordable solar industry – have expressed immense disappointment with the action. And China’s Ministry of Commerce has already threatened trade retaliation, saying that it will “work with the W.T.O. to resolutely defend [China’s] legitimate interests.”

It is also possible that more jobs will be lost than gained. Solar installation, accessory production and repair are three of the fastest growing areas of the solar industry; when consumer prices skyrocket, demand will decrease, leaving solar-centered businesses out of work. The Solar Energy Industry Association predicts that for every 2,000 jobs gained in the American solar manufacturing industry, 23,000 other solar-based jobs will be lost.

Still, Trump remains optimistic: In a Monday press conference, he claimed that “those companies will be coming back strong.” Whether the tariff will bring new life to the languishing American solar manufacturing industry or merely slow its decline remains yet to be seen.

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About the Contributor
Veronica Henderson, Copy Editor
My name is Veronica Henderson, and I'm a senior at Pleasant Valley High School.  Aside from copy editing for the Spartan Shield, I play harp and bassoon in the Quad City Youth Symphony, participate in PVHS Astronomy Club, and volunteer for various organizations.  I plan on majoring in environmental science at an undecided university after graduation.
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    Adam ArmsFeb 15, 2018 at 11:02 am

    Great writing, if this raises the pricing of solar panels, it could be a major set back to moving to renewable energy in general. Luckily the people who lose their jobs probably can find other jobs relatively quickly because electrical engineers and technicians are in high demand.

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New import tariffs cast cloud of uncertainty over American solar energy