- Brazil has removed import duties from a number of solar PV products being shipped into the country
- Eligible products as notified by the Economy Ministry will be exempt from paying import duties till the end of 2021
- ABSOLAR says till now imported solar modules were required to pay up to 12% tariffs while this went up to 14% for inverters
The Brazilian government has done away with all import duties on foreign manufactured solar PV equipment. This brings import taxes down to 0%, a step that local PV association ABSOLAR points out boosts the industry especially when Brazil’s Real is suffering devaluation against the US Dollar pushing up component costs.
A notification in the country’s official journal Diário Oficial da União dated July 16, 2020 issued by the Chamber of Foreign Trade under the Ministry of Economy lists a number of imported goods that do not need to pay any import taxes. ABSOLAR says PV components included here are exempt from paying import taxes till the end of 2021.
The list includes both various monocrystalline as well as bifacial modules, 3-phase inverters for PV systems and components used in trackers. The resolution will come into effect from August 1, 2020.
On its website, ABSOLAR says it told Reuters that import taxes for solar modules usually come up to 12% whereas inverters pay tariffs of 14%. The new ruling is expected to be detrimental to the prospects of local manufacturers as imported ones will now much less expensive than locally manufactured products giving them a tough competition.
Last month, Brazil approved a new decree to ease green projects financing paving way for more than 8 GW solar PV capacity by 2030 out of 36 GW new renewable energy capacity expected to be built as a result (see Brazilian Decree To See Over 8 GW PV In 10 Years).
