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NECA CEO Pens Column in The Hill: Trump Should Say No to Solar Tariffs

Dec 01, 2017

An op-ed column written by John M. Grau, the CEO of the National Electrical Contractors Association, was published by The Hill on Nov. 30. The column, posted in full below, can be accessed here

By John M. Grau, NECA CEO, Opinion Contributor The Hill

Renewable energy and the jobs created by it are a booming industry in the United States. But today, thousands of electrical contractors are worried that actions by their own government may threaten their jobs. Electrical construction jobs—high-tech, high-skilled, and good-paying—are at risk thanks to attempts by two solar companies to convince the U.S. government to bail them out of bad business decisions by imposing trade tariffs on solar panels and cells.

The lever these two companies are hoping to pull is called a Section 201 trade case, a sparingly used part of the U.S. trade law that is supposed to be used by domestic companies that are seriously injured or threatened with serious injury by increased imports. 

Section 201 is rarely invoked because of the severity of the remedy – blanket tariffs on imports coming from all over the world. To give an idea of the seriousness of bringing such a case, the final decision about whether to impose tariffs or other trade restrictions in a 201 trade case is made by the president of the United States. We strongly believe that the President should end this case now.

Thousands of companies make up this country’s $130 billion electrical construction industry, and electrical construction workers across the country work tirelessly to build out some of America’s most important infrastructure needs. There are no electrical contractors that would expect the government to bail them out of a bind that they themselves created through bad decision-making. And no one expects the government to act any differently toward companies.

Providing protective tariffs and price floors on solar products would cause harm to rest of the entire industry and the electrical construction workers that support it. The remedies would double the price of solar panels in the U.S., which would slash demand for solar projects and greatly harm the solar industry’s position in the electricity market just as the industry has taken off in earnest.

Last year, the $23 billion solar industry created 51,000 jobs, accounting for about 1 out of every 50 new U.S. jobs created in 2016.  Its success stems from a growing ability to compete with other power sources that supply the electrical grid, putting our members to work to build, frame and maintain these projects.