Monday, December 5, 2011

ITC & Dumping

No duties or tariffs will be levied for product brought in before Jan 12th. The Commission will decide March 22nd.  I don't know whether the Chinese dumping; I'll leave that to better minds than mine.  Affordable Solar's primary supplier is US based Schott Solar.  Last Friday we heard from a large Japanese supplier that they are sold out out of their US made product till March.  As a result we put our contingency plans and placed orders for US made product Schott through Q1 2012. 

Based on the duty determination date of Jan 12th, it could be prudent to bring in more Chinese product, in our case Canadian Solar.  The challenge is Q1 is likely to to suck in terms of sales; it's the time to mend nets.  In our case it's staff training.  We bought reluctantly boosted our orders in for American because we anticipate it's price will go up and be in shortage.

I expect Chinese manufacturers will bring in as much product as they can before Jan 12th.  They will have to get everything on the water by the end of this week.  We heard on Chinese mfg will have 40 MW by the end of the year in anticipation.  If Q1 is slow, I expect prices for Chinese modules to go lower as they try to move product against an ebbing tide.

The world continues to turn.

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