US solar manufacturers say China is routing production through Ethiopia to evade tariffs

Eight US solar manufacturing companies have asked the US Department of Commerce to investigate what they describe as unfair trade practices involving solar products assembled in Ethiopia using Chinese components.

US solar manufacturers say China is routing production through Ethiopia to evade tariffs
US solar manufacturers say China is routing production through Ethiopia to evade tariffs

Eight US solar manufacturing companies have asked the US Department of Commerce to investigate what they describe as unfair trade practices involving solar products assembled in Ethiopia using Chinese components.

  • Eight US solar companies have petitioned the US Department of Commerce to investigate alleged unfair trade practices involving solar products assembled in Ethiopia with Chinese parts.
  • Major firms like First Solar and Q-Cells claim Chinese manufacturers are avoiding US tariffs by relocating assembly to Ethiopia.
  • US imports of Ethiopian solar products reportedly jumped from almost nothing before June 2025 to $300 million by December 2025.
  • The complaint continues a trend of US manufacturers alleging that Chinese circumvention of antidumping and countervailing duties occurs through third countries.

Eight US solar manufacturing companies have asked the US Department of Commerce to investigate what they describe as unfair trade practices involving solar products assembled in Ethiopia using Chinese components.

The petition, filed on Tuesday, includes major firms such as First Solar, Q-Cells, Suniva, and Talon PV, according to Bloomberg's report.

The companies allege that Chinese solar manufacturers are bypassing existing US tariffs on Chinese solar products by shifting part of their production and assembly operations to Ethiopia before exporting the finished products to the United States.

US solar manufacturers say China is routing production through Ethiopia to evade tariffs
US solar manufacturers say China is routing production through Ethiopia to evade tariffs

Ethiopian exports surge

According to the petitioners, imports of Ethiopian solar products into the US surged from virtually zero before June 2025 to about $300 million by December 2025.

The case is the latest in a series of complaints by US solar manufacturers, who have repeatedly argued that Chinese companies are circumventing American antidumping and countervailing duty measures by relocating production to third countries.

Earlier this year, the US Commerce Department concluded that companies operating in India, Indonesia, and Laos were selling solar products into the US market at unfairly low prices and imposed preliminary duties on those imports.

Despite the growing scrutiny, most US solar imports still come from countries such as Laos, Indonesia, Malaysia, South Korea, Thailand, and Germany, while only a small share currently originates from other markets.