US solar panel tariffs Southeast Asia imports will soon spike as the Commerce Department plans to impose duties of up to 3,521%. These tariffs will hit Chinese-affiliated solar manufacturers operating in Cambodia, Thailand, Malaysia, and Vietnam.
The announcement follows a year-long investigation launched after several US solar producers raised complaints. They accused Chinese companies of exploiting Southeast Asia to avoid existing duties and flooding the market with underpriced products.
Cambodian exporters will face the highest penalties for failing to cooperate with investigators. Jinko Solar, which manufactures in Malaysia, will receive one of the lowest tariffs at just over 41%. Trina Solar’s operations in Thailand will face a 375% duty. Neither company responded to BBC News requests for comment.
Chinese firms began relocating operations to Southeast Asia after former President Donald Trump introduced steep tariffs during his first term. These new duties build on that framework, increasing the financial burden on foreign solar firms entering the US market.
The American Alliance for Solar Manufacturing Trade Committee praised the findings. The group had requested the investigation and argued that Chinese-headquartered companies were manipulating trade rules. Their lead counsel, Tim Brightbill, called the outcome a win for US manufacturing.
US Census Bureau data shows that American imports of solar equipment from the four targeted countries reached nearly $12 billion in 2023. While the new tariffs aim to boost domestic production, they may also raise costs for companies and consumers that rely on low-cost solar panels.
The timing of the decision aligns closely with Chinese President Xi Jinping’s recent visit to Vietnam, Malaysia, and Cambodia. He used the trip to strengthen diplomatic ties and urge nations to resist US economic pressure.
President Trump has continued to escalate tariffs during his second term. The administration recently imposed a flat 10% tariff on several countries, and existing tariffs on Chinese goods now reach as high as 145%. Combined with new penalties, total charges could rise to 245%. China retaliated with a 125% tariff on US products and warned that it would fight back aggressively.
The International Trade Commission will issue a final ruling on the proposed solar panel tariffs in June. Until then, pressure continues to mount in the ongoing US-China trade standoff, especially in the clean energy sector.
