Trump Suddenly Hits Indonesia with Tariffs, These Goods Face 104%
Trump Suddenly Hits Indonesia with Tariffs, These Goods Face 104%
Jakarta, CNBC Indonesia - The United States Department of Commerce (DOC) officially announced on Tuesday the imposition of countervailing duties on solar cells and panels imported by companies in India, Indonesia, and Laos. This move is aimed at countering subsidies that support industries in the three Asian countries.
Quoting Reuters, Thursday (February 26, 2026), the US has set a general subsidy tariff of 125.87% for imports from India, 104.38% for imports from Indonesia, and 80.67% for imports from Laos.
According to government trade data, the three countries accounted for import values of US$4.5 billion (Rp75.73 trillion) last year. This is about two-thirds of the total imports in 2025.
In addition to the general tariff, the DOC also calculated individual tariffs for companies. For example, Mundra Solar in India is subject to a tariff of 125.87%.
In Indonesia, PT Blue Sky Solar is subject to a tariff of 143.3%, while PT REC Solar Energy is subject to a tariff of 85.99%. There are also Solarspace Technology Sole Co and Vietnam Sunergy Joint Stock Company in Laos, each subject to a tariff of 80.67%.
This decision is the latest in a series of tariffs imposed over the past decade on “cheap solar product imports from Asia, mostly produced by companies from China.” Based on a fact sheet uploaded to the DOC’s official website, the agency calculated general subsidy tariffs for importers.
Through this decision, US trade officials said they are “supporting domestic solar manufacturers after finding that companies operating in the three countries received government subsidies.” This, they added, “makes US products uncompetitive in their own market.”
Prices Below Production
The DOC is also scheduled to make a separate decision next month on “whether companies from the three countries are flooding the US market with prices below production costs.” This refers to a request from the Alliance for American Solar Manufacturing and Trade, which includes Hanwha Qcells from South Korea, Arizona-based First Solar, and OCI Holdings’ Mission Solar.
These manufacturers are said to be seeking to protect investments worth billions of dollars in US factories. Tim Brightbill, lead attorney for the alliance, welcomed the US government’s move and called it a significant step forward.
“This is an important step towards restoring fair competition. US manufacturers have invested billions of dollars to rebuild domestic capacity and create good-paying jobs. This investment cannot succeed if unfairly traded imports are allowed to distort the market,” said Tim Brightbill in a statement on the same page.
Disappointed
On the other hand, Solarspace’s (Laos) attorney, Matthew Nicely, expressed his disappointment with the high tariffs. He believes that the figures set by the US government do not reflect the reality on the ground.
“These tariff rates do not reflect the actual experience of the company or even a realistic analogy,” said Matthew Nicely via email.
To date, other affected companies have not commented through their attorneys in the US. The DOC stated that the final determination in this countervailing investigation is expected to be completed by July.
(tps/tps)