US Slaps 123% on Solar Cells from India, Indonesia
and Laos
The US Department of Commerce has issued
preliminary anti-dumping duties of 123.04% on solar cells and modules from
India, Indonesia, and Laos.
1.
Key Finding
o
US Department of Commerce found Indian solar cells
sold below fair value (dumping)
o
Recommends anti-dumping duties (ADD)
2.
High Dumping Margin
o
Indian firms face 123.07% dumping margin
o
After adjusting for existing subsidies (CVD): ~107.77%
effective ADD
3.
Companies Named
o
Mundra Solar PV
o
Mundra Solar Energy
o
Kowa Company
o
Premier Energy Photovoltaic
4.
Uniform Duty Application
o
Same dumping margin applied to all other Indian
exporters
5.
Role of US Authorities
o
US Customs and Border Protection to collect duties
o
Final decision expected within 75 days
6.
Comparison with Other Countries
o
Indonesia: 5.15% dumping margin
o
Laos: 22.46% dumping margin
👉 India faces disproportionately
higher penalties
7.
Cumulative Tariff Impact
o
With earlier countervailing duties (CVDs):
§ India: up
to ~234% total duties
§ Indonesia:
121–178%
§ Laos: ~103%
8.
Trigger for Investigation
o
Complaint by Alliance for American Solar
Manufacturing and Trade (July 2025)
o
Alleged dumping + subsidised exports
9.
Earlier CVD Action (Feb 2026)
o
India: ~126% CVD
o
Indonesia: up to 143%
o
Laos: ~80.67%
10.
Market Reaction in India
·
Stocks declined:
o
Waaree Energies ↓ 3.14%
o
Vikram Solar ↓ 2.20%
·
Some firms fell up to 5%
11.
Economic Implications
·
Severe hit to India’s solar exports to the US
·
Risk of:
o
Loss of market share
o
Supply chain disruption
o
Trade tensions escalation
Bottom
Line
The US move imposes a triple-digit tariff wall
on Indian solar exports, significantly restricting market access and intensifying
global trade frictions in the renewable energy sector.
The
US Department of Commerce (DoC), following an investigation, has determined
that solar cells imported from India are being sold in the US below fair value,
and has recommended the imposition of anti-dumping duties equivalent to the
dumping margin.
The
notice outlining the preliminary findings names four Indian manufacturers —
Mundra Solar PV, Mundra Solar Energy, Kowa Company, and Premier Energy
Photovoltaic. Their estimated weighted average dumping margin has been
calculated at 123.07%.
For
all other Indian manufacturers, the same dumping margin has been applied. The
US Customs and Border Protection will collect duties equivalent to the dumping
margin, with adjustments to account for countervailing duties (CVD) already in
place.
After
factoring in existing CVDs, the effective dumping margin has been pegged at
107.77%.
Triple-Digit Barrier
The
Department of Commerce is expected to issue its final determination within 75
days of the preliminary findings. In addition to India, Indonesia and Laos have
also been investigated for dumping solar cells and modules.
The
dumping margin for Indonesian producers has been set at 5.15%, while that for
Laotian producers stands at 22.46%.
Combined
with earlier US countervailing duty determinations, the total duties could
reach about 234% for India, 121% to 178% for Indonesia, and 103% for Laos,
according to the Alliance for American Solar Manufacturing and Trade.
The
industry group had filed the initial complaint in July 2025, alleging dumping
and subsidised exports of solar cells from India, Indonesia, and Laos.
Subsequently, in February 2026, the US Commerce Department imposed preliminary
countervailing duties of 126% on Indian solar exports, up to 143% on Indonesian
exports, and 80.67% on those from Laos.
Market Contagion
Indian
solar stocks reacted sharply to the development. Shares of Waaree Energies fell
3.14%, while Vikram Solar declined 2.20% during Friday’s trade, with some
manufacturers dropping as much as 5% after the announcement of the preliminary
duties.