The hearing was held at the request of the European Union's affordable photovoltaic alliance representing more than 740 PV companies in Europe and 65,000 jobs.
Just eight days before the hearing, one of the earliest PV companies in Europe, Görlitzer Solar, filed for bankruptcy. The European industry generally believes that the direct cause of the bankruptcy of this German company is that "the European Commission's temporary anti-dumping duties on Chinese solar panels have caused a sharp deterioration in the European PV market."
Torsten Proygshas, ​​president of the European Association of Cheap PV, told reporters before the hearing: "We asked for the hearing to beg the European Commission to stop collecting these harmful tariffs, because this will lead to European photovoltaics. The market is shrinking and there is a loss of a lot of green jobs."
"I hope that the lessons of the bankruptcy of Görlitz Solar will enable the European Commission to wake up as soon as possible," said Proigschas, who is also the chief executive of Sovetix, a large-scale solar power plant in Germany. I hope that the facts we provide at the hearing can persuade the European Commission to take action to stop the fall of our industry."
In early June, the European Commission announced that the EU will impose a temporary anti-dumping duty of 11.8% on photovoltaic products produced in China from June 6. If the EU and China fail to reach a compromise plan by August 6, the anti-dumping tax rate will be reached. Will rise to 47.6%.
The decision of the European Commission has attracted strong opposition from a large number of European PV companies, especially those in the upstream and downstream of the PV industry chain. The overwhelming majority of EU member states also opposed this decision. Eighteen member states, including Germany and the United Kingdom, opposed the imposition of punitive tariffs on Chinese PV products.
A well-known independent economic research institute in Europe predicted that a study conducted by the Institute earlier this year showed that the EU’s punitive tariffs on Chinese PV products would cause EU consumers to reduce the demand for PV products and related services, thereby reducing job opportunity. At the same time, as many PV companies in China import raw materials, components and manufacturing equipment from Europe, this trade protection behavior will also bring “added value†to Europe.
Provigos said: "The temporary anti-dumping duties have led to the cancellation of orders and employment in European PV companies. Due to the rising prices of photovoltaic products, demand has shrunk severely, and some of our companies have had to lay off some workers."
Dennis Giselle, CEO of the Dutch company Osko Mela Solar Solutions, who came to the hearing, said: "This result is in line with the 'overly optimistic' findings of the European Commission before deciding to levy taxes. On the contrary, the European Commission said at the time that even though Europe is currently facing an economic crisis, the European photovoltaic industry can miraculously avoid the market shrinkage caused by taxation of Chinese products."
Giselle pointed out that all the evaluations made by the European Commission were based on data provided by only seven European PV manufacturers, and did not take into account the demands of nearly a thousand European PV consumer companies. According to Giselle, most of the downstream companies in the European PV industry have net profit of less than 10%. Even at the current level of 11.8%, they are simply unable to withstand the price pressures imposed by anti-dumping duties.
The European Commission also said at the time that if the European PV market shrinks, European PV installations and solar power companies can transform into other industries such as wind energy. Giselle said that this is impossible. “The photovoltaic industry is a highly professional industry. Our employees have received professional training and cannot easily switch to other industries.â€
This hearing is a closed meeting. Peter Desmet, CEO of Solar Bright Company, a large-scale photovoltaic company in the Netherlands, told reporters after the meeting: "We submitted more data and facts to the European Commission to prove that the taxation of photovoltaic products in China has brought to the European photovoltaic industry. Hurt, we clearly expressed this position."
As for whether the hearing can influence the decision of the European Commission, a European PV executive who did not want to be named told reporters that everything is hard to say, but there are European Commission officials who hinted that it may be punished in the near future. Sex tariffs conduct more investigations on the negative impact of European PV consumer companies.
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