27 March 2013 07:06 [Source: ICIS news]
SINGAPORE (ICIS)--China may announce its decision on levying a penalty tariff on polysilicon imports from the US and South Korea before 10 April, industry sources said on Wednesday.
“The penalty tariff is likely to be 30%,” said a Chinese industry source, who declined to be named.
If imposed, the penalty tariff would lead to higher polysilicon prices in China because more downstream solar makers will prefer to purchase lower-priced domestic polysilicon instead, sources said.
However, in the medium term, polysilicon supply is expected to build outside China in response to weaker Chinese import demand following the imposition of antidumping duties (ADDs).
“There will be polysilicon surplus,” said a trader, adding that ample stocks may impact prices outside China.
“So now the companies are selling [polysilicon] first to get some cash before the price really comes down beyond their expectation,” the trader added.
There were widespread expectations that Beijing would make a decision on the tariff by 20 February.
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