A Tariff on China´s Solar Panels Essay

The first solution would require the brand "To move any existing projects, investments, and stocks in China and relocate to a better, more stable economy in another country (Argentina)”. This would provide Canadian Solar with an idyllic location while providing a stable and increasing stock market such as the Buenos Aires Stock Exchange. However, some negatives of this solution are the loss of relations with Chinese investors and high cost as moving assets around the world will always end up being quite costly. The second solution would need Canadian solar “To terminate any existing assets in China, discontinue them and start off with a clean sheet.” This would allow for new projects and new relations with Chinese investors, nonetheless, it would mean a major loss of progress for the company and loss of some relations because of the termination of projects in China.The third solution would require patience and compel the company “To discontinue the current projects in place, but to keep them in China; do not plan to put in place anymore solar projects; wait for the Chinese government to recover, then resume the projects” This would not only allow for the Canadian solar heritage to remain but also take advantage of the slowly but surely growing solar industry in China. Nevertheless, some problems still remain such as the unstable market, and the growing smog issue which could prevent solar panels from reaching their full and desired

This recent tax on Chinese solar panel imports has been set in order to protect Canadian domestic manufacturers of solar panels from competition against the Chinese imports with substantially more cheaper prices.

Solar energy is a resource that can be utilized by any nation willing to invest in this natural resource. According to the research attained from the EPIA’s 2012 Photovoltaic Barometer report, and data attained from population numbers from Internet World Stats (IWS) and the GDP numbers come from the International Monetary Fund (IMF), the top countries that utilize solar energy Sources are Germany, Italy and Belgium, (Shahan, 2013) whereas the top counties that trade with the United States are Canada, China Mexico Japan Germany and the United Kingdom. (Wikipedia, 2012)

Incentives (governmental regulations require utilities to purchase renewable electricity at higher rates), can only help the business to become established in the market, so are important in the short and mid-term only. Because European incentives diminish over time, in the long term all PV technologies will compete based on price and performance therefore cost

economies of both nations. This problem the United States must face is whether it ought

“Unfair Competition with the Sun” by Frederic Bastiat, is about free trade and whether or not other countries participating will damage our national market. In Bastiat’s paper he talks about the sun being other countries and the competition the national market faces with the sun. He talks about how the national market is “suffering from the intolerable competition of a foreign rival, placed, it would seem, in a condition so far superior to ours for the production of light” (8-11). Bastiat considers the competition unfair because these foreign countries “absolutely inundates our national market with it at a price fabulously reduced” (8-13). The national market struggles to be a competitor so they try to pass a law to shut “up all of the

The article is that people think solar energy is not necessary here in CANADA. There could be several reasons for this. For example, in Canada is to close the north and the winter season is too long, therefore it is not working in the winter and it cost too much to use and install a solar energy and the red herring of efficiency, which means solar power, is only 15 per cent efficient. On the other hand, Gordon Howell, who is a solar expert, set out them objection to the opinion. First of all, in Canada is not too far the north and Canada is more to install solar energy than Germany therefore, Canada can make 50 percent more solar energy than Germany. Secondly, solar power is unlimited, can be supplied whenever, if we have some solar modules,

This critical thinking assignment will discuss an article concerning the US imposition of a tariff on Chinese solar panels. Under the Obama Administration, the federal trade panel found China responsible for the harm of the U.S. solar panel industry. China exports billions of dollars of solar products to the United States each year and will face tariffs of up to nearly 250 percent for a period of up to five years before reevaluation (Associated Press, 2012). The U.S. hopes that this will help to maintain a viable solar manufacturing base. The remainder of this assignment will discuss economic principles and explain how these tariffs could affect supply and demand.

One problem that trade barriers have caused is that they increase the cost of enterprises, affecting the international competitiveness of enterprises. For a long time, due to the low technological content of Chinese export products, mainly to win international markets at low prices, the developed countries have adopted some ways, such as the green subsidy system, the green packaging system, the green fortress and so on. By imposing import surcharges, increasing the cost of

This issue has stopped some politicians in their tracks and has complicated the process of building solar farms. Politicians have spent a long time debating this. Instead, a rule could be passed that restricts the areas in which solar farms can be built. These areas should have low economic value (i.e. swamps, desert land or rooftops). The slowdown of the process may hamper our efforts of bettering our socioeconomic lives as well as the environment.

Major rise in tariffs have caused a major outrage between the South and the West. Before the tariff rise in 1716 there was no tariff rise because Congress had claimed it to be unconstitutional. Southern citizens had to purchase most of their goods from the North, but mostly from Europe. Many of the citizens of the South had claimed and understood that Congress had claimed tariffs to be unconstitutional, and were shocked to see the rise in tariffs. Many of the items in the South grew tremendously in price, which caused outrage to many citizens in the South, they. The West also saw that since the government had been receiving tariffs, they

Another issue with this measure is the creation of trade diversion with regards to Germany. As a member of a custom union the imposition of the tariffs to China are also compulsory for Germany, which is by far China’s greatest partner in the EU and, therefore, the production of Solar Panels for Germany would move from a low-cost producer outside the union to a high-cost producer inside the union.

China is a country with huge resources. In 2001, China successfully joint the WTO and rapidly took an important role on the international trade. In late 1990’s, China signed an agreement with Australia and built a close relationship with Australia. In the following years to date, there is a huge changes on the performance of trade and investment between these two countries, especially on agriculture, mining and manufacture. In this article, we will use trade theory to analysis the reason of changes of trade and investment performance after the development of policy.

Subsides are being provided directly to renewable energy generators by governments all over the world. German has launched an aggressive campaign to have 100% of its energy come from renewable sources. The German government gives direct subsidies to individuals and businesses for the installation of roof top solar panels on their property, thus making renewable energy more attractive for small renewable energy generators (Burgermeister, 2009). Direct subsidies have become a required part of renewable energy for small producers to find it cost effective and current efficiency levels show that they will be required for many years to come.

In addition, solar energy operational costs are manageable. It is free from monthly charges compared to conventional sources of energy. Solar energy does not require raw materials such as oil and coal, and once the panels are built, there will be no monthly charges. In addition, the prices of fossil fuels are increasing day by day, and this means conventional energy will be very expensive. Solar energy will remain the most capable world’s future power supply because, it is cost effective once the plants are built, and there will be no transport costs like for conventional energy sources. Therefore, solar energy is cost-effective, and will help in future energy supply, as the maintenance cost is affordable, as long as they are installed properly, and are working efficiently ( Hans, 2012). Furthermore, with the improvement and advancement of technology, it will increase its efficiency, and cost of production thus, making it more cost effective and the world’s best