LOS ANGELES — A trade dispute highlights a debate about the kinds of jobs America can sustain in a greening economy.
The Obama administration’s recent decision to slap import tariffs on Chinese solar cells was hailed by some domestic solar manufacturers as a victory for job creation, sending a powerful message to Beijing about monopolistic behavior in crucial industries.
But a close look at the U.S. solar industry suggests the tariffs actually may be a job killer because the majority of positions in the sector aren’t on the assembly line. Instead, upward of 70 percent of U.S. solar employment is in installation, sales and distribution — and companies that hire those workers argue solar cells must get significantly cheaper to remain competitive with other energy sources.
“What China is doing to boost its manufacturers is unfair, but tariffs could actually reduce jobs,” said Gordon Johnson, a green tech analyst at Axiom Capital Management. “The price of solar panels goes up and looks unaffordable compared to alternatives.”
Although the U.S. pioneered photovoltaic solar cells decades ago, it has fallen increasingly behind lower-cost manufacturers of the technology.
The matter will come to a head later this month, when the Commerce Department will announce a determination on a possible second round of tariffs on Chinese-made silicon-based photovoltaic cells.
