US slaps steep duties on solar imports from India and Indonesia
Washington’s reported move to assist American producers threatens to increase consumer costs
The US has announced steep new tariffs on solar cells and panels from India, Indonesia, and Laos in order to support domestic producers.
In a statement on Tuesday, the US Commerce Department set preliminary duties on solar imports from companies in the three Asian nations.
The countries have been accused of unfairly subsidizing local manufacturers, according to Reuters.
The Alliance for American Solar Manufacturing and Trade had demanded an investigation into the subsidies, saying a probe was needed to protect US manufacturing.
The preliminary duties have been determined in accordance with the volume in which solar equipment is imported.
Accordingly, Indian imports will be charged 126%, Indonesian shipments 86% to 143%, and a 81% rate has been set for Laos, Bloomberg reported.
STORY | US announces preliminary 126% countervailing duty on imports of certain Indian solar goods
— Press Trust of India (@PTI_News) February 25, 2026
The US has announced preliminary countervailing duty of 125.87 per cent on imports of certain Indian solar goods, alleging that the products are unfairly subsidised by New Delhi.… pic.twitter.com/VgIC0zdDZR
The US Commerce Department is simultaneously conducting an antidumping duty probe of solar cells imported from India, Indonesia, and Laos.
These three nations accounted for $4.5 billion in US solar imports, or nearly two-thirds of the total, according to US government trade data.
According to an official order, US solar imports from India increased to $792.6 million in 2024 from $83.86 million in 2022.
India, along with Indonesia and Laos, accounted for 57% of US solar module imports in the first half of 2025, according to Bloomberg.
The steep rates will make the US market mostly unviable for Indian solar panel manufacturers, Citi said in a research note.
These duties are different from the 10% tariffs announced by US President Donald Trump on all countries from February 24, after the Supreme Court last week struck down most of the earlier tariffs he had implemented.
The court declared that Trump exceeded his authority when he invoked the 1977 International Emergency Economic Powers Act (IEEPA) last year to justify tariffs against almost every country in the world in April.