US President Joe Biden ordered emergency measures Monday to increase supplies essential for producing solar power and waive a two-year tariff on solar panels originating in Southeast Asia.
The emergency measure comes as Biden seeks to drive progress in his fight against climate change.
The passage of the Defense Production Act (DPA) and other executive actions comes amid complaints from industry groups that the solar sector is being hampered by supply chain issues.
DPA is a law to establish a priority system and provide financial assistance for expansion of production capacity and supply chains.
The White House announcement sent solar companies’ stock values higher in Wall Street trading.
“The president requested that the Defense Production Act (DPA) be enacted to increase domestic production of solar panel parts, build insulation, heat pumps and other components. It gives full power to the federal government’s purchasing power to support clean energy plants in America,” it said. Karine Jean-Pierre, White House spokeswoman.
The US Department of Commerce announced in March that it was researching imports of solar panels from Thailand, Vietnam, Malaysia and Cambodia. The US is concerned that products from these countries will ignore US anti-dumping rules aimed at limiting imports from China. [ps/pp]