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US levies steep duties on Indian solar exports, challenging market growth
US imposes 126% preliminary duty on solar panels from India.
Duties aim to protect domestic manufacturers but raise costs for exporters, consumers.
Final Commerce determination expected July 6 amid concurrent antidumping investigation on imports.
The Trump administration set preliminary duties of 126% on solar cells and panels imported by companies in India, reported Bloomberg.
In addition, the US Commerce Department has increased initial duties for Indonesia and Laos from 86% to 143% and 81%, respectively. The rates are based on a calculation of foreign subsidies that, according to the US, enabled exporters from those nations to undercut domestic solar producers’ products.
3 February 2026
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BY Outlook Planet Desk
Citing the statement by US trade officials, Reuters reported that the companies operating in the three countries received government subsidies that make American products uncompetitive.
While the duties aim to benefit domestic manufacturers, they heighten uncertainty for an industry not favoured by US President Donald Trump and threaten to increase costs for producers as well as for consumers.
These duties would be different from Trump’s sweeping global tariffs, which the US Supreme Court struck down last week. In response, Trump issued new 10% tariffs that he’s threatened to raise to 15%. The president also had struck a bilateral trade deal with India earlier this month that had sought to reduce economic tensions between the countries.
India, Indonesia and Laos accounted for 57% of solar-module imports to the US in the first half of 2025, according to BloombergNEF. Some developers had shifted to sourcing panels from there after the US imposed steep duties on four Southeast Asian countries that had at one point made up the bulk of imports.
Solar imports from India in 2024 were valued at $792.6mn, more than 9 times the value in 2022,
“Today’s finding is an important step toward restoring fair competition in the US solar market,” Tim Brightbill, co-chair of Wiley Rein’s International Trade Practice and lead attorney for the Alliance told Bloomberg.
“American manufacturers are investing billions of dollars to rebuild domestic capacity and create good-paying jobs. Those investments cannot succeed if unfairly traded imports are allowed to distort the market,” he added.
BY Outlook Business Desk
The final determination on the investigation will be issued July 6. The Commerce Department is conducting a concurrent antidumping duty probe of solar cells imported from India, Indonesia and Laos.
According to reports, shares of Indian solar and renewable energy companies continued to lose ground in early trading on February 25. Waaree Energies and Premier Energies dropped as much as 15% as a result of the US imposing high countervailing duties on solar imports from India.
Waaree Energies’ stock had dropped as much as 14.6% to ₹2,580.5 by 9.30 am. While Premier Energies stock was down over 12% at ₹681.3, extending its decline from the opening bell.
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