This month, the United States finalized its decision to impose import duties on five solar panel manufacturers who had been avoiding tariffs on Chinese-made goods by assembling products in other Southeast Asian countries. This decision closely follows a preliminary finding from December, as stated by a senior Commerce Department official.
Despite opposition from buyers relying on affordable overseas-made solar products to stay competitive, this move is seen as positive news for the smaller U.S. solar manufacturing sector. The industry has long struggled against Chinese competition, but recent investment has surged due to subsidies under U.S. President Joe Biden’s significant climate-change legislation.
The Commerce Department’s investigation revealed that the following subsidiaries of Chinese firms were illegally bypassing U.S. tariffs on Chinese solar panels:
- BYD Hong Kong
- Canadian Solar
- New East Solar
- Trina Solar
- Vina Solar
The companies accomplished this by conducting minimal processing in countries like Cambodia, Malaysia, Thailand, and Vietnam before shipping products to the U.S. market. Collectively, these countries supply about 80% of U.S. panel supplies.
The affected companies will now face tariffs as high as 254%. However, these duties won’t be effective until June 2024, thanks to a two-year waiver granted by President Biden. This waiver ensures a stable panel supply as domestic manufacturing capacity grows.
What do these changes mean for you?
The new import duties imposed by the United States could increase costs for imported solar panels and replacement parts next year. As overseas manufacturers react to the Commerce Department’s decision, disruptions in the supply chain could also lead to delays in acquiring solar panels or related equipment, potentially affecting your installation timeline and subsequent costs.
To avoid all of these challenges, it’s important to work with a solar installer who is familiar with the changing regulations and supply statuses that affect the solar industry.
Solar Optimum Is Here for You
The cost of imported solar panels is on the rise due to the imposition of trade tariffs. However, there’s a way to avoid the inflated prices — consider buying from local manufacturers. At Solar Optimum, we’re dedicated to providing the best solar solutions to our customers. We’ve teamed up with solar panel manufacturers who meet all the required regulations. One of our outstanding partners is Hanwha QCell. They offer top-notch products without the extra costs of imported panels. Plus, they are fully committed to following all U.S. tariff laws.
Hanwha Qcell specializes in creating high-performance, tier-one solar panels. As one of the leading manufacturers in the United States, you can trust that your QCell panels will perform as promised and that any issues or defects will be covered for the full length of your warranty. For more information about QCells solar panels or to receive a personalized quote, don’t hesitate to reach out to Solar Optimum today.
