The EU trade commissioner may propose punitive tariffs of more than 30 per cent on Chinese-made solar panels to protect European producers.

Eu Trade Commissioner Karel de Gucht will propose punitive tariffs on Chinese solar panels at a meeting of EU trade representatives on Tuesday and is expected to win support, Reuters quoted diplomats as saying. According to EU regulations, the temporary tax measures will take effect before June 6.

However, even if the EU makes a preliminary decision at that time, it still leaves room for consultation with China to solve the problem. If successful, the two sides could avoid punitive tariffs that could be imposed for up to five years.
The European Commission has launched anti-dumping and anti-subsidy investigations on Chinese solar panel imports, involving 21 billion euros ($27.6 billion) worth of Chinese exports to the EU, in what industry insiders call the biggest "double-counter" case in EU history.