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Indian Solar Firms Sidestep US Tariffs With Smart Sourcing
25 Feb
Summary
- US imposes 126% duty on certain Indian solar imports.
- Companies cite diversified supply chains and local manufacturing.
- Long-term demand for India's renewables remains strong.
As of February 25, 2026, the United States has implemented an initial 126% duty on certain solar imports originating from India. This development has raised concerns within the Indian solar industry regarding potential trade barriers.
However, leading Indian solar manufacturers are indicating that the immediate effect on their exports and operational capacities is minimal. Companies like Vikram Solar and Waaree Group have developed flexible supply chains and employ local manufacturing strategies. These approaches allow them to source solar cells from markets acceptable to the US, either assembling panels in India or manufacturing them in their US facilities.
Industry experts suggest that while some companies might face temporary adjustments, their long-term strategies, including expanding US manufacturing, are expected to mitigate impacts. Furthermore, the article notes that the Indian renewable energy sector continues to experience robust long-term demand, even amidst ongoing global trade complexities.
