G/SG/N/6/USA/11  
 
29 May 2017  
(17-2850) Page: 1/4 
Committee on Safeguards  Original: English  
 
NOTIFICATION UNDER A RTICLE 12.1(A) OF TH E AGREEMENT  
ON SAFEGUARDS ON  INITIATION OF AN INV ESTIGATION  
AND THE REASONS FOR IT 
UNITED STATES 
(Crystalline Silicon Photovoltaic Cells  
(Whether or Not Partially or Fully Assembled into Other Products) )  
The follow ing communication, dated 25 May 2017, is being ci rculated at the request of the 
delegation of the United States . 
 
_______________  
 
 
Pursuant to Article 12.1(a) of the WTO Agreement on Safeguards (Safeguards Agreement), the 
United States notifies that a saf eguard investigation has been initiated as follows:  
 
1. Specify the date when the investigation was initiated  
 
The U.S. International Trade Commission (Commission) initiated the investigation 
on 17 May 2017.  
 
A copy of the notice of institution of the inve stigation, which includes the scheduling of public 
hearings and the applicable rules of procedure, is attached.1 
 
The Commission will make its serious injury determination within 128 days after the petition was 
filed, or by 22  September 2017 . If affirmativ e, the Commission will submit to the President its 
report within 180 days after the date on which the petition was filed, or by 13  November 2017.  
 
2. Specify the product subject to the investigation  
 
The products covered by this investigation are crystalli ne silicon photovoltaic (CSPV) cells, whether 
or not partially or fully assembled into other products, including, but not limited to, modules, 
laminates, panels, and building -integrated materials . The investigation covers CSPV cells of a 
thickness equal or  greater than 20 micrometers, having a p/n junction (or variant thereof) formed 
by any means, whether or not the cell has undergone other processing, including, but not limited 
to cleaning, etching, coating, and/or addition of materials (including, but not  limited to, 
metallization and conductor patterns) to collect and forward the electricity that is generated by the 
cell. 
 
Included in the scope of the investigation are photovoltaic cells that contain crystalline silicon in 
addition to other photovoltaic m aterials . This includes, but is not limited to, passivated emitter rear 
contact (PERC) cells, heterojunction with intrinsic thin -layer (HIIT) cells, and other so -called 
"hybrid " cells. 
 
                                                
1 A copy of the n otice of institution  has been submitted electronically. To consult this document please 
contact Ms. Budd (Hilary.Budd@wto.org) or Ms.  Richards (Anne.Richards@wto.org) of the Rules Division.  G/SG/N/6/USA/11  
 
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  Products under consideration also may be described at the time of impo rtation as components for 
final finished products that are assembled after importation, including, but not limited to, modules, 
laminates, panels, and building -integrated materials.  
 
Excluded from the investigation are CSPV cells, whether or not partially or fully assembled into 
other products, if the CSPV cells were manufactured in the United States.  
 
Also excluded from the investigation are thin film photovoltaic products produced from amorphous 
silicon (a -Si), cadmium telluride (CdTe), or copper indium g allium selenide (CIGS).  
 
Also excluded from the scope of the investigation are CSPV cells, not exceeding 10,000mm2 in 
surface area, that are permanently integrated into a consumer good whose function is other than 
power generation and that consumes the ele ctricity generated by the integrated CSPV cell . Where 
more than one cell is permanently integrated into a consumer good, the surface area for purposes 
of this exclusion shall be the total combined surface area of all cells that are integrated into the 
consumer good.  
 
The CSPV cells covered by the investigation are provided for under Harmonized Tariff Schedule of 
the United States (HTSUS) subheading 8541.40.60 . Within that 8 -digit subheading, CSPV cells that 
are assembled into modules or panels are imported under HTS US statistical reporting 
number  8541.40.6020, while CSPV cells that are not assembled into modules and are presented 
separately are imported under statistical reporting number 8541.40.6030 . Inverters or batteries 
with CSPV cells attached can be im ported under HTSUS subheadings 8501.61.00 and 8507.20.80, 
respectively . In addition, CSPV cells covered by the investigation  may also be classifiable as 
DC generators of subheading 8501.31.80, when such generators are imported with CSPV cells 
attached . While HTSUS provisions are provided for convenience, the written description of the 
scope is dispositive .  
 
3. Provide the reasons for the initiation of the investigation  
 
(i) Was the investigation initiated pursuant to a petition from the domestic industry?  
 
Yes, the investigation was initiated pursuant to a petition filed by S univa, Inc., a producer of 
CSPV  cells and CSPV modules in the United States . The Commission deemed the petition, as 
amended, to have been properly filed on 17  May 2017.  
 
(ii) Evidence on the bas is of which the investigation was initiated.  
 
Increased Import Quantities  
The petition alleges that, in absolute terms, the quantity and value of imports of CSPV cells and 
modules have increased over the last five years . The quantity o f imports rose from 
111,053,315  units in 2012 to 168,330.149 units in 2016, an increase of 51.6 %. The value of 
imports rose from $5.1 billion in 2012 to $8.3 billion in 2016, an increase of 62.8 %. In addition, 
imports rose from 2015 to 2016, with the q uantity of imports risin g by 68% and t he value of 
imports rising by 4% . 
 
Serious Injury or Threat of Serious Injury to the Domestic Industry  
The petition2 alleges that increasing imports have taken market share from domestic producers 
and have led to bankruptcies, plant shutdowns,  layoffs, and a severe deterioration of the financial 
performance of the domestic industry . Petitioner Suniva, Inc. filed for Chapter 11 bankruptcy on 
17 April 2017.  
 
In addition, according to the petition, capacity utilization for CSPV cell operations fel l from 81.7 % 
in 2014 to 28.9 % in 2016 . CSPV module production utilization fell from 66.7 % in 2013 to 32.9 % 
in 2016. Also, domestic production of CSPV cells fell 37.6 % from 2015 to 2016, while domestic 
production of CSPV modules fell by 10.5 percent . Prices  for CSPV cells and modules also declined 
from 2012 -16 as imports increased.  
 
                                                
2 Because Suniva, Inc. is the sole petitioner in this investigation, much of the serious injury data is 
confidential business information. However, the United Sta tes has included relevant data regarding serious 
injury or threat of serious injury where possible.  G/SG/N/6/USA/11  
 
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  The petition also states that Suniva, Inc. and SolarWorld AG, two large domestic producers in the 
United States, reported operating losses from 2012 -16. Data in the petition also  indicates that 
domestic market share fell from 21.0 % in 2012 to 11.0 % in 2016, despite a $4 billion growth of 
the U.S. market over the same period.  
 
The petition alleges that 1,200 manufacturing jobs in the United States have been lost and wages 
have fall en by 27 % from 2012 -16. 
 
The petition cites this same information as evidence of threat of serious injury to the domestic 
industry . It also asse rts that independent industry analysis sho ws that market share is projected 
to continue to decline . Also, the pe tition asserts inventories have increased from 27.6 % in 2012 -
13 to 28.3 % in 2015 -16. 
 
The petition asserts that due to the factors mentioned above, the domestic industry is vulnerable 
to threat of serious injury as well.  
 
As imports have increased from 201 2-16 and prices have been declining, the petition proffers that, 
coupled with the significant decline of several key economic indicators, imports have prohibited the 
domestic industry from benefitting from the growth in U.S. demand and are a substantial ca use of 
the serious injury that the domestic industry has experienced.  
 
Unforeseen Developments  
According to the petition, the following are developments that were unforeseen by the domestic 
industry:   
 
 recent increase in imports and the impact on the dome stic industry; and  
 foreign producers, in response to the various antidumping and countervailing duty orders 
that were imposed on imports from China and Chinese Taipei, have opened new production 
facilities in third countries.  
 
More detailed information re garding any of the above is contained in the petition, which can be 
found at https://edis.usitc.gov .  
 
(iii)  Evidence, if any, of critical circumstances where delay would could damage which it would 
be difficult to repair.  
 
The petitioner did not allege critical circumstances in the petition.  
 
4. Provide a point of contact for the investigation and identify the preferred means 
for corresponding  
 
The point of contact for the investigation is:  
 
Mary Messer  
Office of Investig ations  
U.S. International Trade Commission  
500 E Street, SW  
Washington, DC 20436  
Tel: (202 -205-3193)  
 
The public record for this investigation may be viewed on the Commission 's electronic docket 
(EDIS) at https://edis. usitc.gov .  
 
5. Provide the deadlines and procedures for importers, exporters and other 
interested parties to present evidence and their views, including (i) deadlines and 
procedures for Members and exporters to identify themselves as interested 
parties, if so required, to participate in the investigation, and (ii) the date of an 
intended public hearing  as provided for in Article 3.1  
 
Persons wishing to participate in the investigation as parties must file an entry of appearance with 
the Secretary to the C ommission not later than 21 days after publication of the notice of institution 
in the Federal Register . The Secretary will prepare a service list containing the names and G/SG/N/6/USA/11  
 
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  addresses of all persons, or their representatives, who are parties to this investig ation upon the 
expiration of the period for filing entries of appearance.  
 
The Secretary will make confidential business information gathered in this investigation available 
to authorized applicants representing interested parties under the administrative protective order 
issued in the investigation, provided that the application is made not later than 21 days after the 
publication of the notice of institution in the Federal Register . A separate service list will be 
maintained by the Secretary for those par ties authorized to receive confidential business 
information under the administrative protective order.  
 
Each party who is an interested party may submit a prehearing brief to the Commission . The 
deadline for filing prehearing briefs on serious injury is 8 August 2017; that for filing prehearing 
briefs on remedy is 27 September 2017 .  
 
The Commission has scheduled separate hearings in connection with the serious injury and 
remedy phases of this investigation . The hearing on serious injury will be held on 15 August 2017, 
at the U.S. International Trade Commission Building, 500 E Street, SW, Washington, DC .  
 
In the event that the Commission makes an affirmative serious injury determination or is equally 
divided on the question of serious injury in this invest igation, a hearing on the question of remedy 
will be held on 3 October 2017.  
 
Requests to appear at the hearings should be filed in writing with the Secretary to the Commission 
on or before 9 August 2017 for the serious injury hearing, and 27 September 201 7 for the remedy 
hearing.  
 
All parties and nonparties desiring to appear at the hearings and make oral presentations should 
participate in prehearing conferences to be held on 11 August 2017 for the serious injury hearing 
and 28 September 2017 for the reme dy hearing, if deemed necessary .  
 
Parties may file written testimony in connection with their presentation at the hearing . A nonparty 
who has testimony that may aid the Commission 's deliberations may request permission to 
present a short statement at the hearings . Parties must submit any request to present a portion of 
their hearing testimony in camera no later than 7 business days prior to the date of the respective 
hearings.  
 
The deadline for filing posthearing briefs for the serious injury phase of the investigation is 
22 August 2017; the deadline for filing posthearing briefs for the remedy phase of the 
investigation, if any, is 10 October 2017.  
 
In addition, any person who has not entered an appearance as a party to the investigation may 
submit a writt en statement of information pertinent to the consideration of serious injury on or 
before 22 August 2017, and pertinent to the consideration of remedy on or before 
10 October  2017.  
 
The attached notice of institution provides further information regarding deadlines and procedures 
applicable to this investigation .   
 
The Commission 's Handbook on E -Filing, available on the Commission 's website at 
https://www.usitc.gov/s ecretary/documents/handbook_on_filing_procedures.pdf , elaborates upon 
the Commission 's rules with respect to electronic filing.  
 
 
 
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