The
solar panel industry is a very competitive market. The US as well as China see
this industry as a valuable thing to have for different reasons. This lead them to a trade war with
both sides passing tariffs and subsides in an effort to get an advantage over
the other. The result is very cheap goods which is good for whoever is buying
them but not so good for the 2 governments and the producers who have gone into
debt to produce them. It is this trade
war that lead to prices being so low and it is irrational. Both countries should
stop all government help to the industry and let free trade do its thing by letting
markets pick winners and losers.
http://www.nytimes.com/2012/11/08/business/energy-environment/us-affirms-tariffs-against-chinese-solar-companies.html?_r=3&
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