The US is preparing to introduce tariffs of up to 3,521% on solar panel imports from Cambodia, Thailand, Malaysia, and Vietnam, following a year-long investigation into alleged unfair trade practices.
The US Commerce Department announced the proposed tariffs after American manufacturers accused Chinese companies of shifting production to Southeast Asia to avoid existing duties and selling subsidised, low-cost products in the US.
Cambodia faces the highest proposed tariff of 3,521% due to a lack of cooperation with investigators.
Jinko Solar’s products from Malaysia face duties of just over 41%, while Trina Solar’s products from Thailand would incur a 375% tariff.
A final decision from the US International Trade Commission is expected in June.
Tim Brightbill, lead counsel to the American Alliance for Solar Manufacturing Trade Committee, welcomed the decision.
“This is a decisive victory for American manufacturing and confirms what we’ve long known: that Chinese-headquartered solar companies have been cheating the system,” he said.
Critics, however, argue that higher tariffs could increase costs for US businesses and consumers reliant on affordable solar technology. In 2023, the US imported nearly $12bn worth of solar equipment from the four countries.
The announcement comes as energy security remains a global concern. Fatih Birol, head of the International Energy Agency, warned that the world has yet to address the vulnerabilities revealed by the 2022 energy crisis fully.
“Lessons from Ukraine have not yet been fully understood,” he said, emphasising the importance of supply diversification, policy stability, and international cooperation.
This week, a 60-country summit hosted in London will address these challenges, though China will not attend.
“We wish everybody was at the table, but the countries attending the meeting make up three-quarters of the world’s GDP, which in my view is not bad at all,” Birol added.
