https://marketresearchtelecast.com/...-tariffs-on-wind-towers/101269/
The renewables from the Spanish Stock Exchange decreases are noted in the session this Tuesday, after knowing that The US will impose tariffs to companies in the export sector of wind towers. The biggest punishment is for Siemens Gamesa, whose shares lead the cuts in the Ibex 35.
The US International Trade Administration has decided to impose 73% tariffs to the export of wind towers, for the sale of material below cost, a practice known as ‘dumping’, after opening an investigation to several Spanish companies.
Following the Biden administration’s decision, Siemens Gamesa went on to lead the falls of the Ibex 35 with a decrease of 2.71%. The implementation of the tariffs would reduce its competitiveness in a market as prominent as the US, which accounts for 22% of the onshore orders of the Spanish-German company in the last twelve months, according to data from the results of the second quarter of the year.
In addition, Bankinter analysts emphasize that the United States is a market in which “growth is expected in the coming years in offshore, where Siemens Gamesa is one of the leaders in the sector”.
“In today’s session, the value will suffer declines due to the increase in the risk premium,” Bankinter analysts point out. These experts, who advise a neutral position vis-à-vis Siemens Gamesa securitiesThey already considered that “current prices discount a scenario of strong growth and this situation, if confirmed, would reduce their competitiveness in a growth market.”
Despite the punishment that the Siemens Gamesa titles collect, Diego Morín, IG analyst, highlights that the wind turbine manufacturer remains above 26.60 euros, the first important reference level, and adds that “the decline is not as abrupt as the one generated during the month of April due to the impact of the news, when the entity left more than 10% on the road in five days” . |
