Solar photovoltaic (PV) manufacturing firms have called on the European Commission to conduct an anti-dumping investigation into imports of solar panels from China as quickly as possible.

The European Commission announced on 6 September 2012 that it had launched an investigation after receiving a complaint from EU Pro Sun, an industry association.

EU Pro Sun, which represents 20 European companies, believes that Chinese solar companies have been illegally dumping solar products on Europe’s market at below the cost of production in order to gain market share. It also says that the Chinese government is subsidising solar manufacturers for export.

The European Commission says that its investigation will take 15 months, and that it could impose provisional anti-dumping duties on Chinese firms within nine months on the basis of sufficient prima facie evidence.

The investigation follows one carried out by the authorities in the USA, which resulted in duties being imposed on Chinese firms importing solar goods.

That investigation was based on a complaint led by SolarWorld, a German-based solar cell manufacturing firm with extensive operations in the USA.

SolarWorld has welcomed the Commission’s announcement. In a statement it said that the EU ProSun initiative “supports fair competition and the sustainable expansion of solar energy in Europe”.

The European Photovoltaic Industry Association (EPIA) warned that trade conflicts could destabilise Europe’s PV industry and called for the investigation to be expedited.

“The PV industry faces challenges in these difficult economic times,” said EPIA President Winfried Hoffmann. “Whatever the outcome of the EU investigation, Europe needs a strong PV industry along the whole value chain; this is vital for maintaining a viable European market for PV.

“That means the EU needs to develop a real industrial policy that would encourage and strengthen further investments.”

EU ProSun lodged its complaint with the European Commission in July. The investigation will cover all of the key components of solar panels.

Anti-dumping duties will be imposed if the investigation shows that dumping has occurred and has caused “material injury” to the EU’s solar industry.

According to the Commission, Chinese solar panel exports to the EU totalled €21 billion in 2011. China is the world’s largest producer of solar panels, accounting for 65 per cent of global production. The EU is its largest export market.