Bifacial modules will get a pass on the Trump administration’s solar import tariffs, giving a boost to a small but fast growing solar technology as the U.S. market prepares for the federal Investment Tax Credit’s phase-down.
Officials said in a filing that the U.S. Trade Representative will publish the Section 201 tariff exclusion on Thursday to get bifacial modulesthat absorb sunlight on either side.
The first exclusion seemed largely designed to benefit U.S.-based SunPower, which acquired Section 201 petitioner SolarWorld Americas in April 2018. However, the impact of this second round of exclusions is more difficult to gauge.
Bifacial modules represent less than 1 percent of global solar installations now and their track record is thin, but with a substantially greater efficiency than traditional modules, they are gaining traction in a number of niches, including the U.S.
Two weeks past Canadian Solar announced the largest module arrangement in its history with programmer EDF, a portion of which is biracial.
Mirroring the wider upstream solar industry, most of the biggest manufacturers of bifacial modules are based overseas, including Longi, LG, Trina and Yingli. The U.S. has little bifacial manufacturing capability online.
“This [exclusion] is going to give bifacial more of a competitive edge against other modules,” said Colin Smith, a senior solar analyst at Wood Mackenzie Power & Renewables. “It’s certainly going to bring the overall cost down and make them more attractive to developers.”
The exemption comes as WoodMac is forecasting a tightening of the global module marketplace, driven in part by a procurement hurry in the U.S. as programmers move to purchase up equipment before the ITC’s phase-down.
The Solar Energy Industries Association trade group welcomed the announcement, saying it’s been especially pushing for an exclusion for bifacial modules.
“This exemption will accelerate the adoption of bifacial technology in the United States, which is still in a relatively early phase,” said John Smirnow, SEIA’s vice president of market strategy, in an emailed statement. “Many of the leading module providers now offer or will soon provide facial products”
In addition to bifacial modules, the most recent round of exclusions also applies to flexible fiberglass panels ranging from 250 to 900 watts, which could include some building-integrated PV product.
U.S. trade officials stated this is going to be the last tariff exclusion they grant on solar equipment, together with the agency now having reviewed all orders submitted since it started receiving appeals in February 2018. The solar tariffs step down within the course of four years.
The administration did not immediately respond to requests for comment regarding its decision-making behind the exclusion or the timing for the decision. In the filing, the U.S. Trade Representative stated it”will monitor developments in the U.S. market” and may provide an opportunity for the submission of future exclusion asks.
