EU endorses solar deal with China

BRUSSELS - The European Commission on Friday endorsed the amicable solution to the European Union-China solar panels case announced by Commissioner Karel De Gucht last weekend.

"During the process leading to today's decision, the Commission has received almost unanimous support from EU member states," the Commission said in a written statement on its website.

The Commission said it had adopted a decision to accept the undertaking offered by Chinese exporting producers of solar panels, as well as a regulation exempting these participating companies from the payment of provisional anti-dumping duties.

"Both legal acts will be published in the Official Journal tomorrow and enter into force on 6 August," said the Commission.

As a consequence, those Chinese companies participating in the price undertaking will be exempted from paying any anti-dumping duties as of 6 August, according to the statement.

Those companies not participating will pay the increased anti-dumping duties, of 47.6 percent, that have been announced on 5 June 2013, it added.

Producers accounting for about 70 percent of Chinese solar panel imports to the EU have agreed to set a minimum price for them, De Gucht said at a press conference earlier this week, without specifying what that price is.

"The Chinese suppliers have agreed to voluntary undertaking where they commit to keeping the prices above a certain floor. In return, the companies who participated in the engagement do not have to pay the anti-dumping duties," he said.

"This undertaking would apply only for an annual volume that covers only part of the European market," said the Commissioner without giving the figure for the volume.

"Any Chinese exports exceeding this annual volume, the average anti-dumping duties of 47.6 percent will have to be paid as of August 6," he said.

The undertaking agreement would be effective until the end of 2015, De Gucht told reporters.

The announcement came nearly two months after the European Commission decided on June 4 to impose provisional anti-dumping duties on imports of solar panels, cells and wafers from China.

Today's adoption of the price undertaking deals signified an official ending to EU's anti-dumping investigation into China's solar panels producers.