Taking Stock: American Safeguard Tariffs on Foreign Solar Panel Manufacturers

Abstract

U.S. President Donald Trump has imposed 30 percent tariffs (so-called safeguard tariffs) on solar panels made outside the United States. He has also imposed at a minimum of 20 percent and a maximum of 50 percent tariff on residential washing machines. Trump’s current approach to trade was signaled late last year when the U.S. levied a staggering 292 percent tariff on C Series aircraft built by Bombardier Inc. In the past, he has been suggesting to scrap the North American Free Trade Agreement (NAFTA) deal. By putting up the tariffs, the Trump administration seems to be hopeful of making it easier for American companies (involved in domestic manufacturing) to compete with foreign manufacturers.