The reporter learned from the latest in the industry that the negotiation team composed by the Ministry of Commerce and the China Chamber of Commerce for Import and Export of Mechanical and Electrical Products (hereinafter referred to as “Electrical and Mechanical Chamber of Commerce†has traveled to Europe and started consultations with the European Commission on PV dispute resolution this week. This is also the first round of formal negotiations between China and Europe after the preliminary anti-dumping of the PV case.
"It is undoubtedly a matter of urgency to reach a consultation solution before August 6. But at present, the situation of the negotiations is very complicated." The seniors close to the case pointed out that "the European side wants to set limits on price and quantity, and is raising prices. The details of the magnitude and base period are different from those of the Chinese side. These are all related to one item and one attack. The next negotiation must be hard and tough."
The EU's PV double-counter case against China is the largest trade friction case between China and Europe. Two weeks ago, the EU preliminary decision decided to impose a 11.8% two-month temporary anti-dumping duty on photovoltaic products produced in China from June 6. If the two sides fail to reach a settlement by August 6, the anti-dumping tax rate will rise. To 47.6%.
Our reporter learned that on the second day after the preliminary results were announced, the Electromechanical Products Chamber of Commerce urgently called more than 40 PV companies to meet, assessing the loss and impact of 11.8% of anti-dumping duties on enterprises, and discussing the next price commitment. Specific options for negotiations. Since then, several times the company has been convened. It can be said that China has made sufficient preparations before the negotiations in Europe.
"Because the Chamber of Commerce of Electrical and Mechanical Industry represents the industry and the European Commission negotiations, after the preliminary results were announced, the Chamber of Commerce convened a meeting to discuss the latest sales and prices of the company's products in Europe, and explored the final solution. There are such meetings constantly," Zhang Qian, director of government relations and business development at Artes, said in an interview.
In Zhang Qian’s view, this round of negotiations will be a difficult process. "We have done a lot of preparatory work, we will do our utmost to strive for the best results, but the negotiation can be completed in a day or two. After continuous mutual understanding and game, we can finally form a solution acceptable to both sides. Program."
A senior industry insider in Europe who is familiar with the photovoltaic case also said that whether China and the EU can negotiate price commitments in the next 50 days is very uncertain and is a big problem.
The above-mentioned person said that this aspect depends on whether the EU can show some flexibility and flexibility in its position. However, judging from the current signs, the asking price of the EU is still not too low, and the European Commission has lost face in the preliminary voting and will not come to Taiwan. Therefore, it will use the opportunity of negotiation to let the European people see Europe again. The committee's toughness.
On the other hand, from the Chinese side, the particularity of this negotiation also determines that the negotiation will be very difficult, mainly because the operating conditions and profit levels of more than 130 PV companies in China are different, and they bear the "price commitment". The level difference is also large. However, to negotiate with the European side, so many companies in China must speak in the same voice, which is difficult at the operational level.
According to this reporter, the European side wants to set limits on both price and quantity, which requires Chinese companies to raise prices while limiting the number of exports. In addition, the price increase and the base period will also be the focus of the game. "The price increase of the European side is too high, and it is hoped that the price increase will be at least not lower than the anti-dumping duty rate of 47.6%. Moreover, there is also a big difference in the base period, that is, based on the price of the investigation period or the current market. The price is based on the fact that the current market price of photovoltaic products has dropped by 40% compared with the survey period." Seniors pointed out.
However, negotiations are not necessarily without success. Insiders pointed out that "on the one hand, the EU PV product market is in short supply. If the price negotiations break down, then China's PV products will completely withdraw from the EU market, and other countries' products are difficult to replace. On the other hand, China's investigation of EU wines is launched. It will also play a deterrent role. After all, when the talk collapses, the European side will also face great pressure."
On June 13, the EU sued China's high-performance stainless steel seamless steel pipe anti-dumping measures to the WTO, and the Sino-European friction dispute was further upgraded and expanded. On Friday, the Nordic countries such as Sweden, Denmark and the Netherlands urged the European Commission to resolve the increasingly heated dispute with China, saying that it should resolve its dispute with China through diplomatic channels. Otherwise, it may fall into a negative cycle of restraining exports and a trade war with a tooth for a tooth. .
While the Ministry of Commerce led a delegation to the European negotiations, the defense work of Chinese PV companies is also in full swing. In accordance with the relevant procedures, within one month after the European Commission announced the preliminary ruling, Chinese PV companies can comment on this. The European Commission will again judge whether the preliminary ruling is reasonable based on the comments submitted by the company. In this process, enterprises can also apply for a hearing from the European Commission according to their own circumstances.
"At present, we are preparing to make a positive defense work and raise objections and reasons. When the specific preliminary rulings have not yet come out, they can only defend against some major aspects. Now we can give specific information based on the information disclosed. Objections and reasons are more targeted.†Fan Zhenhua, the lawyer representative of PV companies and the legal director of Yingli Green Energy, told reporters that the relevant investigation opinions on countervailing will also be announced one after another. “The counter-subsidy will continue to fight.â€
And this is undoubtedly a wrestling battle about the life and death of China's photovoltaic industry. "At present, because the recent shipments are relatively small, the impact of taxation is not particularly large, but if it is a long-term measure, the impact will be greater. If the profit level has not improved, it will be given to Europe. The customs or the government will pay another sum of money, so the price will definitely increase compared with the previous one, which will have a great impact on sales." Fan Zhenhua said.
"It is undoubtedly a matter of urgency to reach a consultation solution before August 6. But at present, the situation of the negotiations is very complicated." The seniors close to the case pointed out that "the European side wants to set limits on price and quantity, and is raising prices. The details of the magnitude and base period are different from those of the Chinese side. These are all related to one item and one attack. The next negotiation must be hard and tough."
The EU's PV double-counter case against China is the largest trade friction case between China and Europe. Two weeks ago, the EU preliminary decision decided to impose a 11.8% two-month temporary anti-dumping duty on photovoltaic products produced in China from June 6. If the two sides fail to reach a settlement by August 6, the anti-dumping tax rate will rise. To 47.6%.
Our reporter learned that on the second day after the preliminary results were announced, the Electromechanical Products Chamber of Commerce urgently called more than 40 PV companies to meet, assessing the loss and impact of 11.8% of anti-dumping duties on enterprises, and discussing the next price commitment. Specific options for negotiations. Since then, several times the company has been convened. It can be said that China has made sufficient preparations before the negotiations in Europe.
"Because the Chamber of Commerce of Electrical and Mechanical Industry represents the industry and the European Commission negotiations, after the preliminary results were announced, the Chamber of Commerce convened a meeting to discuss the latest sales and prices of the company's products in Europe, and explored the final solution. There are such meetings constantly," Zhang Qian, director of government relations and business development at Artes, said in an interview.
In Zhang Qian’s view, this round of negotiations will be a difficult process. "We have done a lot of preparatory work, we will do our utmost to strive for the best results, but the negotiation can be completed in a day or two. After continuous mutual understanding and game, we can finally form a solution acceptable to both sides. Program."
A senior industry insider in Europe who is familiar with the photovoltaic case also said that whether China and the EU can negotiate price commitments in the next 50 days is very uncertain and is a big problem.
The above-mentioned person said that this aspect depends on whether the EU can show some flexibility and flexibility in its position. However, judging from the current signs, the asking price of the EU is still not too low, and the European Commission has lost face in the preliminary voting and will not come to Taiwan. Therefore, it will use the opportunity of negotiation to let the European people see Europe again. The committee's toughness.
On the other hand, from the Chinese side, the particularity of this negotiation also determines that the negotiation will be very difficult, mainly because the operating conditions and profit levels of more than 130 PV companies in China are different, and they bear the "price commitment". The level difference is also large. However, to negotiate with the European side, so many companies in China must speak in the same voice, which is difficult at the operational level.
According to this reporter, the European side wants to set limits on both price and quantity, which requires Chinese companies to raise prices while limiting the number of exports. In addition, the price increase and the base period will also be the focus of the game. "The price increase of the European side is too high, and it is hoped that the price increase will be at least not lower than the anti-dumping duty rate of 47.6%. Moreover, there is also a big difference in the base period, that is, based on the price of the investigation period or the current market. The price is based on the fact that the current market price of photovoltaic products has dropped by 40% compared with the survey period." Seniors pointed out.
However, negotiations are not necessarily without success. Insiders pointed out that "on the one hand, the EU PV product market is in short supply. If the price negotiations break down, then China's PV products will completely withdraw from the EU market, and other countries' products are difficult to replace. On the other hand, China's investigation of EU wines is launched. It will also play a deterrent role. After all, when the talk collapses, the European side will also face great pressure."
On June 13, the EU sued China's high-performance stainless steel seamless steel pipe anti-dumping measures to the WTO, and the Sino-European friction dispute was further upgraded and expanded. On Friday, the Nordic countries such as Sweden, Denmark and the Netherlands urged the European Commission to resolve the increasingly heated dispute with China, saying that it should resolve its dispute with China through diplomatic channels. Otherwise, it may fall into a negative cycle of restraining exports and a trade war with a tooth for a tooth. .
While the Ministry of Commerce led a delegation to the European negotiations, the defense work of Chinese PV companies is also in full swing. In accordance with the relevant procedures, within one month after the European Commission announced the preliminary ruling, Chinese PV companies can comment on this. The European Commission will again judge whether the preliminary ruling is reasonable based on the comments submitted by the company. In this process, enterprises can also apply for a hearing from the European Commission according to their own circumstances.
"At present, we are preparing to make a positive defense work and raise objections and reasons. When the specific preliminary rulings have not yet come out, they can only defend against some major aspects. Now we can give specific information based on the information disclosed. Objections and reasons are more targeted.†Fan Zhenhua, the lawyer representative of PV companies and the legal director of Yingli Green Energy, told reporters that the relevant investigation opinions on countervailing will also be announced one after another. “The counter-subsidy will continue to fight.â€
And this is undoubtedly a wrestling battle about the life and death of China's photovoltaic industry. "At present, because the recent shipments are relatively small, the impact of taxation is not particularly large, but if it is a long-term measure, the impact will be greater. If the profit level has not improved, it will be given to Europe. The customs or the government will pay another sum of money, so the price will definitely increase compared with the previous one, which will have a great impact on sales." Fan Zhenhua said.
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