May 4, 2023
Solar Tariff CRA Resolution: Evidence of a Failed Approach to Trade and Climate Policy
In a new insight, Director of International Economic Policy Tori Smith presents policy avenues for Congress and the Biden Administration to ensure effective trade enforcement in the case of solar products, as well as create an environment for both conventional and renewable energy sources to compete and flourish in the United States.
- On May 3, the Senate approved a House Joint Resolution using the Congressional Review Act (CRA) to reverse President Biden’s pause of antidumping and countervailing duties on solar products from Cambodia, Malaysia, Thailand, and Vietnam after these imports were found to circumvent tariffs on the same imports from China.
- President Biden is expected to prioritize his climate agenda in this case by vetoing the CRA resolution to shield the solar products from the tariffs until 2024.
- The episode demonstrates the tension between Congress and the administration on trade policy, especially regarding trade enforcement on products from China that are considered essential by the administration for its climate agenda.