U.S. Manufacturing Advocates Praise a Bipartisan Senate Bill Blocking Chinese Companies From Domestic Tax Credits – CleanTechnica

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WASHINGTON, D.C. — The Defend Solar USA Alliance, which advocates for the U.S. solar manufacturing industry, lauded the introduction of bipartisan legislation that would block Chinese solar manufacturers and other foreign entities from taking advantage of a clean energy tax credit intended to boost American solar manufacturing jobs.

The Inflation Reduction Act of 2022 created an Advanced Manufacturing Production Tax Credit (45X) to bolster domestic production of equipment, components and critical materials related to clean and renewable energy. These tax credits have contributed to the largest investments in factory production in nearly 100 years. But without action from Congress, it is estimated that Chinese-controlled companies could collect more than $100 billion in federal tax credits that were instead designed to support U.S. clean-energy manufacturers.

The American Tax Dollars for American Solar Manufacturing Act, introduced yesterday by Sens. Sherrod Brown (D-Ohio), Bill Cassidy (D-LA), Jon Ossoff (D-GA) and Rick Scott (D-FL), would ensure that companies controlled by China and other unfriendly foreign countries (known as “foreign entities of concern”) would not be able to receive the 45X tax credits.

“We shouldn’t be in the business of rewarding China at the expense of our domestic solar industry,” said U.S. Army General John Adams (ret.), and Board Member of the Defend Solar USA Alliance. “The Brown-Cassidy bill would ensure that Americans’ taxpayer dollars stay right here at home rather than help subsidize a foreign government’s efforts to put domestic manufacturers out of work. By building a successful domestic solar industry, the U.S. can break from its reliance on foreign energy sources, strengthen our supply chain and reduce our vulnerability to geopolitical conflicts.”

Congress and the Biden-Harris Administration must also take decisive action to stop China from violating U.S. trade laws by dumping solar panels often made with forced labor into the American market at depressed prices, making it nearly impossible for U.S. manufacturers to compete. In addition to passing this legislation, the Commerce Department and U.S. International Trade Commission must continue their investigation without undue interference into the antidumping cases filed by the American Alliance for Solar Manufacturing Trade Committee.

ABOUT DEFEND SOLAR USA ALLIANCE: Strong American solar manufacturing is essential for jobs, energy security and reaching climate goals. The Defend Solar USA Alliance educates policymakers on the conditions facing U.S. solar manufacturers. Learn more at www.defendsolar.org.

Courtesy of email from Defendsolar.org