Washington: President Donald Trump has slapped high tariffs on import of solar cells and washing machines to protect the American market badly hit by products from countries like China and South Korea.
The move is in line with President Trump's "America First" trade policy.
The US Trade Representative (USTR) made the recommendations to the President based on consultations with the inter agency Trade Policy Committee (TPC) in response to findings by the independent, bipartisan US International Trade Commission (ITC) that increased imports of washers and solar cells and modules are a substantial cause of serious injury to domestic manufacturers.
A spokesman said the administration would "always defend American workers, farmers, ranchers and businessmen".
"These cases were filed by American businesses and thoroughly litigated at the International Trade Commission over a period of several months," said USTR Robert Lighthizer.
"The ITC found that US producers had been seriously injured by imports and made several recommendations to the President," he said.
The USTR said injury to US washing machine manufacturers stems from a sharp increase in imports that began in 2012.
The ITC found that imports of large residential washers increased "steadily" from 2012 to 2016, and that domestic producers' financial performance "declined precipitously."
The relief will include a tariff of 30 per cent in the first year, 25 per cent in the second year, 20 per cent in the third year, and 15 per cent in the fourth year.
Additionally, the first 2.5 gigawatts of imported solar cells will be exempt from the safeguard tariff in each of those four years, USTR said.
The US Trade Representative will engage in discussions among interested parties that could lead to positive resolution of the separate antidumping and countervailing duty measures currently imposed on Chinese solar products and US polysilicon, it said.
According to USTR, the goal of those discussions must be fair and sustainable trade throughout the whole solar energy value chain, which would benefit US producers, workers, and consumers.
Shares in Whirlpool rose 2.5 per cent on the news, and it immediately announced it would employ 200 more people. Shares in US solar panel manufacturers also went up.
Environmentalists argue that making solar panels more expensive risks holding back the development of renewable energy in the country.
China and South Korea have reacted angrily to the news.
South Korea said it would complain to the World Trade Organization (WTO), calling the tariffs "excessive" and "regrettable". Its manufacturers, including Samsung and LG, compete in the washing machine market with US firms such as Whirlpool.
Samsung called the tariffs "a tax on every consumer who wants to buy a washing machine".
Meanwhile China, the world's biggest solar panel manufacturer, said the move would further damage the global trade environment.
China is the US's biggest trading partner and government spokesman Wang Hejun said that Beijing expressed "strong dissatisfaction" with the US move.
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New Delhi/Bengaluru, Mar 17 (PTI): The BJP on Monday termed the Karnataka government’s proposal to provide four per cent reservation to Muslims in government contracts an "unconstitutional misadventure" and said it will oppose the move at all levels, including challenging it in court, until it is rolled back.
The ruling Congress in Karnataka and the BJP hit out at each other over the issue in the Assembly.
Earlier on Friday, the Cabinet approved an amendment to the Karnataka Transparency in Public Procurements (KTPP) Act, reserving four per cent of contracts for Muslims in civil works valued up to Rs two crore and goods/services contracts up to Rs one crore.
"The BJP firmly opposes the proposed unconstitutional move and demands that the Siddaramaiah government immediately roll it back," BJP MP Tejasvi Surya, who represents the Bangalore South Lok Sabha seat, told a press conference at the party headquarters in New Delhi.
He alleged that the Siddaramaiah-led government’s decision was a "calculated move" to appease Muslims, "at the direction and patronage of the Congress top leadership, particularly Rahul Gandhi."
"This patently unconstitutional and prima facie illegal act will be challenged in court. The BJP will fight against the move both inside the Assembly and on the streets. We will also raise the issue in Parliament and protest outside it," Surya said.
The BJP MP said that the Karnataka government’s move is a threat to national integrity, unity, and sovereignty.
"We will fight and oppose this in the courtroom. We will take the fight to the people of Karnataka. Until this unconstitutional move is rolled back, the BJP’s fight will continue," he added.
Meanwhile, in the Karnataka Assembly, the ruling Congress and the BJP once again sparred on Monday over the budgetary provision of four per cent reservation for Muslims in government contracts.
The Congress rejected the BJP’s allegation that religion-based reservation is "against constitutional provisions."
Defending the reservation, Deputy Chief Minister D K Shivakumar said that Muslims, Christians, Sikhs, and Buddhists are citizens of this country.
"We have concerns for minorities and backward communities. When the BJP says it wants to take everyone along, let it appoint Christian and Muslim ministers. Only then does BJP state president B Y Vijayendra have the right to speak about equality. Let him read the state anthem written by Kuvempu—then he will understand what makes Karnataka a peaceful garden," Shivakumar told reporters.
Hitting back at Shivakumar, Vijayendra said that it was the BJP government, not the Congress, that had appointed Dr A P J Abdul Kalam as the President of India.
"We appointed Najma Heptulla, Justice Abdul Nazeer, and Arif Mohammed Khan as governors. Musician Ustad Bismillah Khan was bestowed with the Bharat Ratna by the BJP government," Vijayendra told reporters.
According to him, Congress's appeasement politics is not new.
He questioned the Congress party’s concern for Dalits, asking where it was when its MLA Akhanda Srinivasa Murthy’s house was "torched by Muslim hooligans".
The Leader of the Opposition in the Karnataka Assembly, R Ashoka, claimed that several Supreme Court judgments have stated that there is no provision in the Constitution for religion-based reservations.
"Yet, Chief Minister Siddaramaiah wore a ‘topi’ (skull cap), organised Tipu Jayanti, and introduced Shaadi Bhagya (launched in 2013, it provides financial assistance to economically backward minority women). He gave grants to Muslims beyond what they had asked for. Now, by offering four per cent reservation in contracts to Muslims, the Congress government has made an assault on Hindus," he alleged.
Ashoka argued that there had never been a religion-based contract system in Karnataka, but the government had introduced one, which could lead to conflicts between communities.
In the Karnataka Legislative Council, Leader of the Opposition, Chalavadi Narayanaswamy raised the issue.
He said that religion-based reservation is "not allowed under the Constitution."
"You have granted four per cent reservation to Muslims in contracts. We oppose religion-based reservations. I urge the government through you not to implement it," he stated.
Countering him, Congress MLA B K Hariprasad asserted that the reservation aligns with constitutional provisions.