CBP Illegally Collected Tariffs on Bifacial Solar Panels After SEIA Decision, Importer Argues
CBP illegally collected duties on bifacial solar panels after the Court of International Trade struck down the Trump administration's revocation of a tariff exclusion on bifacial solar panels, importer Canadian Solar (USA) argued in a complaint at CIT. Given that the trade court found the tariff revocation illegal, CBP no longer can require the importers to pay the safeguard tariff on bifacial solar panels, the brief said. The duties "are substantial and impose a continuing financial burden," Canadian Solar argued (Canadian Solar (USA) Inc. v. United States, CIT #22-00295).
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In a previous case brought by the Solar Energy Industries Association, plaintiffs challenged Trump's proclamation withdrawing an exclusion on bifacial solar panels from the Section 201 safeguard duties on imported crystalline silicon photovoltaic solar panels. The trade court ruled that the statute only allows trade liberalizing measures following the imposition of tariff exclusions, making the revocation of the exclusion illegal (see 2111160032).
Following this decision, the proclamation revoking the exclusion was declared null. Nevertheless, Canadian Solar was required to fork over additional safeguard duties, including duties on bifacial solar panels from Oct. 25, 2020, through Nov. 16, 2021, along with increased safeguard duties on entries of monofacial models from Feb. 7, 202, through Nov. 16, 2021. The importer argued that this means the U.S. has collected duties "without legal authority" since the proclamation underpinning the removal of the tariff exclusion was declared "null and void."
The court should thus hold the proclamation as applied to Canadian Solar is illegal and order the U.S. to refund "all increased safeguard duties collected from Canadian Solar under Proclamation 10101, including (a) safeguard duties on entries of bifacial modules effective October 25, 2020 through November 16, 2021, and (b) increased safeguard duties (i.e., 18 percent ad valorem instead of 15 percent ad valorem) on entries of monofacial modules effective February 7, 2021 through November 16, 2021," the complaint said.