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Trade and Industry Department The Government of the Hong Kong Special Administrative Region
Brand Hong Kong - Asia world city

Commercial Information Circulars

24-hour hotline : 23 922 922

e-mail address : enquiry@tid.gov.hk

Ref : EIC 230/2/3/2/13

8 December 2015

Dear Sirs,

Commercial Information Circular No. 1164/2015

European Union (EU) * : Initiation of an expiry review of the countervailing measures on imports of crystalline silicon photovoltaic modules and key components (i.e. cells) originating in or consigned from the Mainland of China

Further to Commercial Information Circular No. 299/2015 of 27 April 2015, the European Commission (the Commission) has published a notice to initiate an expiry review of the countervailing measures applicable to imports of crystalline silicon photovoltaic modules and key components (i.e. cells) originating in or consigned from the Mainland of China. The notice can be accessed through the following link:
http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52015XC1205(02)&from=EN

DETAILS

2.The expiry review is initiated at the request of EU ProSun (the applicant), representing more than 25% of the total Union production of crystalline silicon photovoltaic modules and key components (i.e. cells), on the grounds that the expiry of the measures would likely to result in continuation of subsidisation and recurrence of injury to the Union industry. The Commission considers that the applicant has provided sufficient evidence that (i) the producers of the product under review have benefitted and are likely to continue to benefit from a number of subsidies granted by the Government of the Mainland of China and regional and local governments in the Mainland of China; and (ii) should the measures be allowed to lapse, imports of the product under review to the Union are likely to increase due to the existence of unused capacity in the Mainland of China. In view of the sufficiency of evidence, the Commission considers the initiation of an expiry review justified.

3.Salient points are set out below-

(a) Date of Publication of the Notice : 5 December 2015
 
(b) Product Coverage :
Crystalline silicon photovoltaic modules or panels and cells of the type used in crystalline silicon photovoltaic modules or panels (the cells have a thickness not exceeding 400 micrometres), currently falling within CN codes ex 8501 31 00, ex 8501 32 00, ex 8501 33 00, ex 8501 34 00, ex 8501 61 20, ex 8501 61 80, ex 8501 62 00, ex 8501 63 00, ex 8501 64 00 and ex 8541 40 90 (TARIC codes 8501 31 00 81, 8501 31 00 89, 8501 32 00 41, 8501 32 00 49, 8501 33 00 61, 8501 33 00 69, 8501 34 00 41, 8501 34 00 49, 8501 61 20 41, 8501 61 20 49, 8501 61 80 41, 8501 61 80 49, 8501 62 00 61, 8501 62 00 69, 8501 63 00 41, 8501 63 00 49, 8501 64 00 41, 8501 64 00 49, 8541 40 90 21, 8541 40 90 29, 8541 40 90 31 and 8541 40 90 39) and originating in or consigned from the Mainland of China, unless they are in transit in the sense of Article V GATT.

The following product types are excluded from the definition of the product concerned:
  • solar chargers that consist of less than six cells, are portable and supply electricity to devices or charge batteries,
  • thin film photovoltaic products,
  • crystalline silicon photovoltaic products that are permanently integrated into electrical goods, where the function of the electrical goods is other than power generation, and where these electrical goods consume the electricity generated by the integrated crystalline silicon photovoltaic cell(s),
  • modules or panels with a output voltage not exceeding 50 V DC and a power output not exceeding 50 W solely for direct use as battery chargers in systems with the same voltage and power characteristics.
(c)   Procedures
 
 
 
 
 
 
 
:
In view of the potentially large number of exporting producers in the Mainland of China involved in this expiry review and in order to complete the investigation within the statutory time limits, the Commission may apply sampling.  To enable the Commission to decide whether sampling is necessary and, if so, to select a sample, all exporting producers, or representatives acting on their behalf, including the ones who did not cooperate in the investigation leading to the measures subject to the present review, are requested to provide information on their company(ies) requested in Annex I to the notice, including their identities and contact details, turnover and sales volume, activities of their companies and related companies, and indication of agreement to their possible inclusion in the sample which will involve completing a questionnaire and accepting a visit at their premises in order to verify their responses.  Such information should reach the Commission within 15 days from 5 December 2015, unless otherwise specified.

All interested parties wishing to submit any other relevant information regarding the selection of the sample must do so within 21 days from 5 December 2015, unless otherwise specified.

If a sample is necessary, the exporting producers may be selected based on the largest representative volume of exports to the Union which can reasonably be investigated within the time available.  All known exporting producers, the authorities of the Mainland of China, and associations of exporting producers will be notified of the companies selected to be in the sample.  All exporting producers selected to be in the sample and any known association of exporting producers will have to submit a completed questionnaire within 37 days from the date of notification of the sample selection, unless otherwise specified.  Companies that have agreed to their possible inclusion in the sample but are not selected to be in the sample will be considered to be cooperating.

Subject to the provisions of the notice, all interested parties are invited to make their views known, submit information and to provide supporting evidence within 37 days from 5 December 2015, unless otherwise specified.  
All interested parties may request to be heard by the Commission investigation services.  Any request to be heard must be made in writing and must specify the reasons for the request.  For hearings on issues pertaining to the initial stage of the investigation, the request must be submitted within 15 days from 5 December 2015.  Thereafter, a request to be heard must be submitted within the specific deadlines set by the Commission in its communication with the parties.

Interested parties are invited to make all submissions and requests by e-mail including scanned powers of attorney and certification sheets. By using e-mail, interested parties express their agreement with the rules applicable to electronic submissions contained in the document 'CORRESPONDENCE WITH THE EUROPEAN COMMISSION IN TRADE DEFENCE CASES' published on the website of the Directorate - General for Trade (DG Trade): http://trade.ec.europa.eu/doclib/docs/2011/june/tradoc_148003.pdf.  For further rules and information concerning correspondence with the Commission including principles that apply to submissions by e-mail, interested parties should consult the communication instructions with interested parties referred to in the notice.

Commission address for correspondence:
European Commission
Directorate-General for Trade
Directorate H
Office: CHAR 04/039
1040 Brussels
Belgium

Email : TRADE-SOLAR-SUBSIDY@ec.europa.eu

Interested parties may request the intervention of the Hearing Officer in trade proceedings, who acts as an interface between the interested parties and the Commission investigation services through reviewing requests for access to the file, disputes regarding the confidentiality of documents, requests for extension of time limits and requests by third parties to be heard.  The Hearing Officer may organise a hearing with an individual interested party and mediate to ensure that the interested parties' rights of defence are being fully exercised.  A request for a hearing with the Hearing Officer should be made in writing and should specify the reasons for the request.  For hearings on issues pertaining to the initial stage of the investigation the request must be submitted within 15 days from 5 December 2015.  For further information and contact details, interested parties may consult the Hearing Officer's web pages on DG Trade's website:
http://ec.europa.eu/trade/trade-policy-and-you/contacts/hearing-officer/.
(d) Investigation Schedule : The investigation will be concluded within 15 months from 5 December 2015.

OTHER INFORMATION

4.The Commission has initiated a circumvention investigation of the countervailing measures on crystalline silicon photovoltaic modules and key components (i.e. cells) originating in or consigned from the Mainland of China by imports of the same products consigned from Malaysia and Taiwan, whether declared as originating in these economies or not, and making such imports subject to registration since 29 May 2015. For details, please refer to Commercial Information Circular No. 439/2015 of 1 June 2015.

ENQUIRIES

5.For enquiries concerning the contents of this circular, please contact the undersigned at telephone number 2398 5684.

Yours faithfully,

(Miss Jessica MAK)
for Director-General of Trade and Industry

* The EU member countries are Austria, Belgium, Bulgaria, Croatia, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden and the United Kingdom.

Note 1:
While every effort is made to ensure the accuracy of the above information, the Department cannot guarantee this to be so and will not be held liable for any reliance placed on the same.
Note 2:
The biweekly newsletter "Business Alert - EU" of the Hong Kong Trade Development Council provides up-to-date information on the latest developments in EU trade policy and trade regulations. The newsletter can be accessed through
http://economists-pick-research.hktdc.com/business-news/subindex/en/Business-Alert-EU/1X2ZT68A/1/0.htm.