Chinese-owned solar companies operating in Southeast Asia — particularly in Thailand, Vietnam, Malaysia and Cambodia — are facing potential challenges due to rising US tariffs. These countries account for around 40% of solar module production capacity outside of China and may soon be subject to additional US tariffs amid accusations of aiding China in circumventing US import duties.

In response, many Chinese firms have scaled back operations in Southeast Asia, complicating the European Union's efforts to expand its solar capacity. Southeast Asia, second only to China in solar panel production, accounted for over 80% of US solar imports by the fourth quarter of 2023, according to S&P Global Market Intelligence.

In 2022, the Biden administration ordered a two-year tariff reprieve for solar panel imports from Malaysia, Thailand, Cambodia and Vietnam to prevent disruptions in domestic solar deployment while US manufacturing scaled up. However, this moratorium expired in June 2024, leading to immediate reactions from major Chinese-owned solar panel producers.

In that same month, the Chinese photovoltaic company Longi Green announced the suspension of production at a battery plant in Vietnam, while Trina Solar initiated maintenance shutdowns at its facilities in Thailand and........

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