BEIJING, June 27, 2013 /PRNewswire/ -- On June 6, the EU imposed an initial 11.8% anti-dumping duty on Chinese PV imports into Europe. The rate will be further raised to 47.6% two months hence, affecting more than US$20 billion worth of exports from Chinese PV firms and the livelihoods of more than 400,000 employees, according to Chong Quan, Deputy China International Trade Representative, Ministry of Commerce.
To address this challenge, several industry insiders have suggested that Chinese PV firms seek out and enter new and emerging markets, including the Middle East, via platforms such as the China-Arab States Expo.
In April 2009, the EU approved new legislation on renewable energy. As a result, 70% of Chinese-made PV products have since been exported to Europe.
The EU opened the door to Chinese PV firms by launching the "Green Economy" concept, but soon had a change of heart and started raising protectionist barriers. The EU initiated its first anti-dumping procedure against Chinese-made PV modules as early as September 2012.
"Where the Lord closes a door, He opens a window." The Middle East has become a target market for Chinese PV firms.
According to a report by NPD Solarbuzz, market demand for PV in the Asia Pacific region and the Middle East is forecast to increase to 13.5GW in 2013 and is expected to account for 6% of global PV demand by 2017. The Middle East is poised to see rapid growth over the next five years.
Many Chinese companies have taken the lead in expanding into the Middle East. For China's PV giants Suntech Power and Linuo, the Middle East has become an important component, while Yingli and JA Solar, among others, have also established a presence.
Bilateral trade between China and Arab countries exceeded US$200 billion for the first time in 2012, with the scope of cooperation expanding to new energy, high technology, tourism and halal food.
"We believe that China has advanced technologies in PV and wind power, and we look forward to developing our new energy industry through cooperation with Chinese companies," Clean Energy Concepts chairman Jamal Badran said at the second China-Arab States Economic and Trade Forum.
With new energy the main focus, an energy cooperation session will be held at this September's China-Arab States Expo.
SOURCE China-Arab States Expo