The U.S. has officially launched an investigation into solar panel imports from India, Laos, and Indonesia, a move that could trigger new tariffs and further strain trade ties with New Delhi.
The U.S. International Trade Commission (ITC) voted unanimously on Friday to advance the probe, which centers on claims that Chinese-backed firms are using those countries to sidestep existing duties and flood the American market.
The ITC's decision is a procedural but significant win for U.S. solar manufacturers, who argue that a surge in low-cost imports from India and others is undercutting domestic production and threatening billions in clean energy investments.
“Today’s ITC decision confirms what our petitions allege,” said Tim Brightbill, lead counsel to the Alliance for American Solar Manufacturing and Trade. “Chinese-owned and other companies in Laos, Indonesia, and India are gaming the system with unfair practices that are gutting U.S. jobs and investment.”
The case was filed in July by a coalition that includes major solar firms like First Solar and Qcells. According to their data, imports from the three countries jumped to $1.6 billion in 2023, up from just $289 million the year before—much of it believed to be rerouted from countries already facing U.S. tariffs.
The complaint alleges that Chinese companies operating through India and others receive government subsidies and sell below production cost, violating U.S. trade laws. While the investigation targets all three nations, India—already at odds with Washington over separate tariffs and visa restrictions—now faces a potential hit to a fast-growing solar export sector.
The Department of Commerce will now proceed with its parallel investigation, with preliminary rulings on anti-subsidy duties expected by October 10, and antidumping determinations by December 24.
The outcome could reshape sourcing strategies for U.S. solar developers and rattle trade dynamics across the Indo-Pacific. For India, the probe comes at a time when it’s actively courting global investment in solar manufacturing under the “Make in India” push—placing the sector at a critical crossroads.
