Chinese Solar Energy Stocks Soar on Trump's Failed Attempt to Eliminate Tariff Exemptions
Shares in ReneSola, Daqo and JinkoSolar rose after a trade court blocked an attempt from the Trump administration to terminate a solar panel tariff loophole.
Several Chinese U.S.-listed solar stocks rose on Thursday on news that a trade court blocked an attempt from the Trump administration to remove tariff exemptions on certain solar tariffs.
U.S. President Donald Trump has tried to eliminate exemptions on tariffs on bifacial or double-sided solar panels, but the move was blocked by the U.S. Court of International Trade, Bloomberg reported today.
The news sent shares in Chinese-based solar companies up, which included Daqo New Energy Corp. (NYSE: DQ), which rose 4% to $43.78 per American depositary share. The stock in ReneSola Ltd. (NYSE: SOL) jumped nearly 5% to $1.59 apiece and JinkoSolar Holding Co. Ltd. (NYSE: JKS) closed 78 cents higher, at $19.77 per ADS.
The tariff exemptions on the solar panels dates back to June, according to Forbes. The Trump administration had previoulsy threatened to reinstate those tariffs on Oct. 28.
Meanwhile, some U.S. solar stocks slipped. First Solar Inc. (Nasdaq: FSLR) closed nearly 5% lower, at $52.30 per share, and SunPower Corp. (Nasdaq: SPWR) dropped 4% to $7.08.
Earlier this week, the U.S. solar industry said that the tariffs on imported solar panels could cost the United States 62,000 jobs and $19 billion in investments, as Reuters reported.
The next round of tariffs is scheduled to go into effect on Dec. 15, on more than $150 billion in Chinese goods, which includes consumer products and electronics.