India Considers New Import Tariffs
Importers of solar panel equipment in India are probably feeling very aggrieved at their Government at the moment, after it announced a proposal to slap a 70 percent tariff on such products sourced from China.
India may well be justified in pursuing this somewhat drastic measure. After all, it wouldn’t be the first time that China has been accused of selling its products around the world too cheaply to the detriment of local producers (local consumers, who of course benefit from low prices, never seem to count!). But trade disputes are rarely clear cut, and it seems that few parties ever come out of them completely undamaged. So it might not be India’s smartest move.
Furthermore, this story was notable because it adds to a growing trend for governments to tax the production and consumption of renewable energy, surely a policy completely at odds with efforts to reduce carbon emissions through emission pricing. How are we going to save the planet at this rate?
For more information on this, and other topical international tax matters, please visit: https://www.cchgroup.com/roles/corporations/international-solutions/research/global-tax-weekly-a-closer-look