China Is Running Circles Around American Solar Panel Makers Despite Biden Admin Subsidies And Tariffs

Chinese companies are dominating U.S. solar production despite tariffs and subsidies from the Biden Administration, according to a recent investigation from Reuters.

China-backed manufacturers, armed with low-cost government financing and subsidized raw polysilicon from the Chinese government, are outcompeting American solar companies on their own soil. A minimum of 20 gigawatts’ worth of annual solar panel production – enough to supply half the American market – will come from Chinese manufacturers operating in the United States within the next year, according to Reuters.

The findings reveal challenges the Biden administration faces in preventing an over-reliance on China as it pursues its goal of 100% clean electricity by 2035.

“They have a lot more experience building factories and setting up supply chains,” said David Feldman, a solar market researcher with the U.S. Department of ⚡Energy’s National Renewable ⚡Energy Laboratory.

Paula Mints, founder of solar industry research firm SPV Market Research, shared Feldman’s concern about the ability of U.S. manufacturers to quickly scale panel production.

“You have a stacked deck here. It’s hard to imagine that anyone, particularly a greenfield manufacturer, can do it as quickly as a Chinese manufacturer,” she told Reuters.