President Joe Biden is set to veto a joint resolution targeting his solar panel rule, which temporarily protects some Chinese-made equipment from tariffs, according to the White House.
“[The House measure] would undermine these efforts and create deep uncertainty for jobs and investments in the solar supply chain and the solar installation market.”
The House resolution of disapproval, sponsored by House Republicans and Democrats alike, would restore tariffs on solar panels with parts and components from China that are assembled in Thailand, Cambodia, Vietnam, and Malaysia.
It comes alongside a Senate resolution of disapproval introduced in February by Sen. Rick Scott (R-Fla.).
The House resolution could be brought to the floor for a vote this week.
If both resolutions pass the House and Senate, the joint resolution could overturn Biden’s 24-month tariff freeze.
But if Biden tries to quash the joint resolution, both chambers must secure two-thirds majorities to defeat his veto.
Tariff Freeze
Biden froze tariffs on those solar panels in connection with an emergency proclamation in June 2022.That rule references panels completed in those four Southeast Asian countries with “parts and components manufactured in the People’s Republic of China.”
“The Commerce rule provides a short-term bridge to ensure there is a thriving U.S. solar installation industry ready to purchase the solar products that will be made in these American factories once they are operational,” the White House statement reads.
“Given the strong trends in the domestic solar industry, the President does not intend to extend the tariff suspension at the conclusion of the 24-month period in June 2024.”
“At the end of the day, this resolution is about enforcement of our trade laws,” Rep. Terri Sewell (D-Ala.), a co-sponsor of the bill, said during that committee’s hearing on the legislation.
“I do believe in an ‘all-of-the-above’ energy policy that supports whatever form of energy makes sense for the community,” said Rep. Brad Wenstrup (R-Ohio), another supporter of the measure.
“But that doesn’t mean we should provide special treatment for unfairly traded solar panels that rely on supply chains dominated by our adversaries.”
Rep. Judy Chu (D-Calif.) opposed the resolution.
“While the administration’s emergency order is not perfect, it is a short-term intervention that gives solar projects in the pipeline a needed bridge,” she said.
Clear Trend in Biden Vetoes
If the president goes through with what could be the third veto of his presidency, it will continue a clear pattern as he faces a Congress that’s less friendly than it was before the 2022 midterm elections.Biden’s two previous vetoes also took down joint resolutions from the House and Senate aimed at his agenda on climate, energy, and the environment.
