US starts 'national security' probe of wind imports raising new tariffs threat
Department of Commerce to examine if foreign nations could 'weaponise' control of turbines in latest front to Trump's assault on industry
Donald Trump’s government opened yet another front in its assault on the wind industry as the US launched a ‘national security investigation’ into imported turbines and components – and raised the threat of further tariffs.
The Department of Commerce published notification of the probe on Thursday, inviting submissions on a range of issues connected with turbine imports into the US.
As well as market background on the level of US wind turbine demand and domestic production, and the role of “foreign supply chains” and exporters in the market, the investigation’s remit includes
- The concentration of US imports of wind turbines and their parts and components from a small number of suppliers or foreign nations and the associated risks.
- The economic impact of artificially suppressed prices of wind turbines and their parts and components due to foreign unfair trade practices and state-sponsored overproduction.
- The potential for export restrictions by foreign nations, including their ability to weaponise their control over supplies, or the “capabilities and attributes” of foreign-built wind turbines.
- The impact of current trade policies on domestic production of wind turbines and their parts and components, and whether additional measures, including tariffs or quotas, are necessary to protect national security.
The US wind turbine market is dominated by two suppliers, domestic giant GE Vernova and Vestas of Denmark.
Both have significant domestic capability but also rely on the wind industry’s complex global supply chain in areas such as blades, and mechanical and electronic components.
Research group Wood Mackenzie estimates that in 2023 US wind industry imports into the US were valued at $1.7bn with some 41% coming from Mexico, Canada and China.
The probe, under section 705 of the National Security Industrial Base Regulations, is the latest jab at the industry from the Trump Administration, which has made no secret of its hostility to the wind sector.
Interested parties have 15 days to comment on the DoC investigation from the notice’s publication in the official register on 25 August.
Phil Cole, Director of Industrial Affairs at WindEurope, said: “It’s right that Governments scrutinise national security in connection with energy infrastructure and assets. But any scrutiny has to be genuine and should not be used as an excuse to block wind energy altogether."
"Europe’s experience shows that national security and wind energy go hand in hand."