Archive · 25 Jul 2025
China's Solar Exports Evade US Tariffs through Indonesia
Some Chinese companies are making solar panels in Indonesia to avoid US tariffs.
The US thinks they are cheating by pretending the panels are made there when they are really made by the same Chinese companies.
These companies used to make panels in other Asian countries, but now those are being investigated.
The US is looking into whether these companies are breaking the rules, and if they are, they might have to pay extra taxes.
Meanwhile, the companies are moving their factories to other countries to stay one step ahead.
Chinese solar companies are using Indonesian facilities to export solar panels to the US, avoiding tariffs.
US solar manufacturers have filed petitions alleging that Chinese companies are gaming the system.
The US International Trade Commission has launched an investigation into the allegations.
Indonesia's solar exports to the US have significantly increased, with Batam becoming a key location.
Chinese companies are relocating production to countries like Oman and Saudi Arabia to evade tariffs.
- Who
- Chinese solar companies, US solar manufacturers, US trade officials, and the US International Trade Commission.
- What
- Chinese solar companies are allegedly using Indonesian facilities to circumvent US tariffs on solar panel exports.
- When
- The issue is ongoing, with increased exports in 2025 and investigations beginning in July 2025.
- Where
- Primarily in Batam, Indonesia, with companies also expanding to Oman and Saudi Arabia.
- Why
- To avoid US tariffs on solar panels.
US Solar Manufacturers
Chinese Solar Companies
Fair Trade Practices
US Solar Manufacturers
Chinese companies are cheating the system and undercutting US companies, costing American workers their livelihoods.
Chinese Solar Companies
Chinese solar companies are responding to market forces and seeking out ways to conduct business.
- Key Location
- Batam, Indonesia
- Main Issue
- Tariff Evasion
- Increase in Exports (Jan-May 2025)
- 350% increase from the previous year
- Indonesia Exports to US (First Half 2025)
- $608 million
- Companies under Investigation
- PT Rec Solar Energy Indonesia, PT Nusa Solar Indonesia, PT Blue Sky Solar Indonesia, PT Allianz Solar Indonesia, PT Thornova Solar Indonesia and PT Msun Solar Indonesia.