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Business
WASHINGTON, Aug 6 : The White House on Thursday imposed a series of price floors and a 15 per cent tariff on products made from polysilicon, the raw material used in semiconductors and solar panels.
The proclamation under Section 232 of the Trade Expansion Act of 1962 by U.S. President Donald Trump is aimed at protecting domestic polysilicon makers from Chinese competition.
Polysilicon, an ultra-pure form of silicon, sits at the start of the semiconductor and solar manufacturing supply chains. Manufacturers turn silicon wafers into solar cells and then assemble those into panels used in solar projects.
The trade protections will take effect on December 4, the White House said.
According to a White House document, the president set minimum import prices of $21 per kilogram for polysilicon, $100 per kilogram for polysilicon ingots and wafers, $0.22 per watt for solar cells and $0.38 per watt for solar modules, or panels.
The proclamation also authorizes the Commerce Department to create an incentive program for companies that invest in factories to produce polysilicon or derivative products.
The administration’s plan to pursue a hybrid system combining a minimum import price with tariffs was first reported by Reuters.
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