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Republicans urge Biden Administration to Stick Stick to China Rules

06.12.2022

Bloomberg Republicans are warning the Biden administration not to prioritize green energy goals over enforcement of federal import restrictions meant to discourage human rights abuses in China.

The Republican Representatives Mike Gallagher and Chris Smith, as well as Senators Marco Rubio and Tom Cotton, signal tough oversight of the issue after the GOP took control of the House in January. Trade restrictions in the Uyghur Forced Labor Prevention Act are thwarting imports of solar panels and other gear critical to renewable power projects, possibly at the expense of clean energy goals in the Inflation Reduction Act.

The senators said in a letter to Homeland Security Secretary Alejandro Mayorkas and the acting head of US Customs and Border Protection, we strongly urge you to fully enforce the Uyghur Forced Labor Prevention Act as required by law, particularly when it comes to solar panels made with forced labor, which will get subsidies, grants and tax credits under the IRA. American taxpayers can't be allowed to subside the enslavement of the Uyghurs and other predominantly Muslim ethnic groups. Under the one-year old UFLPA, the US government assumes everything made even partially in the Chinese manufacturing hub of Xinjiang is produced with forced labor and can't be imported into America. If a company shows that the goods are free of force, they can get exemptions. The US accuses China of requiring hundreds of thousands of detainees - mostly Uyghur Muslims or other minorities - to work against their will in Xinjiang, allegations Beijing denies.

The province is also a major supplier of polysilicon, a metal used in most solar panels today. The restrictions have already led to the seizure of hundreds of shipments of solar gear. Some exporters have halted shipments to the US because they fear they will be detained at the border, which has contributed to a decline in renewable power installations and cancellations of new projects, the American Clean Power Association said.

After more than four months of solar panels being reviewed under the UFLPA, none of them have been rejected and are stuck in limbo with no end in sight, Jason Clark, interim president of the ACPA, said in a statement Monday.

The Republicans want the administration to take a harder line enforcing the law, especially as the IRA drives more demand for renewable power imports. The lawmakers say that it includes firms such as Trina Solar Co., Longi Green Energy Technology Co., Jinko Solar Co. and Longi Green Energy Technology Co. whose products have been detained.

Representatives of the three companies didn't respond immediately to requests for comment.

John Smirnow, general counsel of the Solar Energy Industries Association, said the industry has made a lot of progress in decoupling its supply chain from Xinjiang, and leading solar importers have demonstrated their compliance with the Uyghur Forced Labor Prevention Act. House Republicans have signaled more oversight of issues around China next year. If elected speaker of the House, Kevin McCarthy said he d form a select committee on China, an evolution of a GOP-only task force he established in 2020. Gallagher was part of that task force.