Chinese solar energy sector was given new import duties by the United States after its Commerce Department found out that imported solar panels and cells that were sold cheaper in the U.S. market were hurting American producers.

The initial anti-dumping duties, which range as high as 165.04 percent for Chinese solar products, would come on top of the tariffs imposed in June.

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Prices of the Chinese products have increased by 10 percent last month resulting in a lesser demand for some of the dominant low-cost manufacturers in China, analysts say.

China's leading manufacturer Trina Solar meets anti-dumping duties of almost 30 percent and Suntech Power nearly 50 percent, as the outcome of the latest U.S. policy.

Dumping margins of 27.59 percent and 44.18 percent were applied to Gintech and Motech Industry, respectively.

The initial duties are likely to affect tensions between China and U.S., worsen by recent allegations of Chinese espionage on U.S. companies involved in selling disputes, including SolarWorld.

The company, which is a German photovoltaic manufacturer in U.S., complained Chinese manufacturers dodged tariffs by shifting the use of cell production to make their panels in Taiwan.

Meanwhile, the current trading of Chinese solar energy stocks produced a gloomy sentiment to the industry's sales as Americans are major buyers of the country's solar products.

As of 11:26 a.m. today, Motech Industries' shares had dropped 7 percent to NT$44.40 (US$1.48), which is the largest daily decline, while E-Ton Solar had also fallen 7 percent to NT$2.95.

Other solar energy companies including Gentech Energy Corp. and Neo Solar Energy Corp. had fallen 7 percent to NT$29.00 and NT$33.15 successively.

Taiwan's Ministry of Economic Affairs (MOEA) responded on Saturday that it will help the domestic solar energy sector.

The ministry was surprised by the tariffs imposed by U.S. which were higher than expected and will put local vendors at a major disadvantage, the Deputy Economics Minister, Choh Shih-chao, said

MOEA will assist local manufacturers hire lawyers, legal experts, accountants and U.S. consultants to deal with the issue.

Tagssolar panels, SolarWorld, anti-dumping tariffs, Taiwan's Ministry of Economic Affairs (MOEA)