July 29 (Bloomberg) -- Hareon Solar Technology Co. rose to the highest in almost eight weeks in Shanghai trading after China and the European Union reached a deal to curb EU solar-panel imports from China in exchange for exempting shipments from punitive tariffs.
Hareon, a Chinese solar panel maker, advanced 3.8 percent to 6.85 yuan at 11:09 a.m. local time. That’s the highest since June 5. In Hong Kong, panel producer Solargiga Energy Holdings Ltd. climbed 2.5 percent and GCL-Poly Energy Holdings Ltd., the biggest manufacturer of polysilicon used to make solar panels, added 1.5 percent.
The accord would set a minimum price for imports of the renewable-energy technology from China. In return, Chinese manufacturers would be spared EU levies meant to counter below-cost sales, a practice known as dumping.
“The outcome is much better than higher duties,” said Wang Xiaoting, a Beijing-based analyst at Bloomberg New Energy Finance.
The EU commission in early June decided to apply an initial tariff of 11.8 percent for two months on solar panels from China to encourage the Chinese government to negotiate a solution. As of Aug. 6, the provisional levies will rise to as much as 67.9 percent unless the accord goes ahead.
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