In 2016, three domestic producers lodged a complaint to the Ministry of Economy concerning the imports of photovoltaic (solar) panels and modules ("solar panels") originating in the People's Republic of China ("China"). Following the complaint of domestic producers, the Ministry of Economy published its notice[1] of initiation of an anti-dumping proceeding to establish the existence of dumping and dumping margin, the existence and extent of damage to Turkey's domestic industry and finally the causal relationship between the dumped imports and the alleged injury.

In the meanwhile, the European Commission closed its review in order to keep the measures in force or remove the measures altogether in the market for solar panels and solar cells originating or consigned from China. In this regard, the Commission decided to extend the anti-dumping measures against China[2], yet limit the prolongation of the measures to 18 months[3].

While the domestic producers welcome the Ministry of Economy's decision to initiate an investigation, MOFCOM released an announcement that solar panels are one of the fastest growing source of renewable energy. Therefore, solar energy is extremely important to reach the emission targets as well as fighting with climate change. Accordingly,  MOFCOM stated that if the Ministry of Economy decides to conduct anti-dumping measure against imports of solar panels originating in China, the results would be in conflict with the benefits of both countries.

In the course of investigation, the Ministry of Economy announced that the safeguard measures against China had been abolished by 21st of February, 2017[4]. However, this did not affect the ongoing investigation.

In February, the Ministry of Economy published its Final Notice. In this regard, Final Notice presents that solar panels originating in China is being dumped and the dumped imports have caused injury to the Turkish industry. The investigation period was specified between 1/1/2015 and 31/12/2015 while the relevant period for the cause of injury analysis was determined between 1/1/2013 and 31/12/2015. Subsequent to the release of Final Notice, domestic producers and importers of the concerned products will submit their answers to the Ministry of Economy. Accordingly, the Ministry of Economy will decide whether to impose an anti-dumping duty on the products originating in China or to reject the complaint.

The Turkish energy market is ready to hear the positive news coming from the Ministry of Economy. Although some of the domestic producers are of the view that the domestic production does not suffice for the local demand, yet the industry will gather its strength shortly after the imposition of the long-awaited measures.

One quick note: Following the global trend in renewable energy, Turkey starts to establish the largest solar power plant in Karapınar having the capacity of 1.000 MW. According to the Tender Notice[5], establishment of PV solar modules manufacturing unit with a capacity of 500MWp/y and R&D centre is an initial requirement. The winner of the tender, joint venture of Kalyon and Hanwha, with the lowest bid of 0.0688 USD/kWh will be subjected to 15-year purchase guarantee.

[1] http://www.resmigazete.gov.tr/eskiler/2016/07/20160701-18.htm

[2] For the entire procedure for the EU's measures against dumped and subsidised imports of solar panels from China, please visit http://trade.ec.europa.eu/doclib/docs/2015/july/tradoc_153587.pdf

[3] http://trade.ec.europa.eu/doclib/docs/2017/march/tradoc_155403.solar-panels.def.en.L56-2017.pdf

[4] http://www.resmigazete.gov.tr/eskiler/2017/02/20170221-2.htm

[5] http://www.resmigazete.gov.tr/main.aspx?home=http://www.resmigazete.gov.tr/ilanlar/eskiilanlar/2016/10/20161020.htm&main=http://www.resmigazete.gov.tr/ilanlar/eskiilanlar/2016/10/20161020-4.htm

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