After reviewing industry data, the Dept. of Commerce has decided to initiate a country-wide investigation to determine whether imports of silicon solar cells from Ethiopia using Chinese components are circumventing long-standing antidumping/countervailing duty (AD/CVD) orders on solar cells from China.
Credit: Toyo Solar
The investigation was requested in May by American solar cell and panel brands DYCM Power, First Solar, Qcells, Silfab, Solx, Suniva, Swift Solar and Talon PV. The petitioners alleged that two solar manufacturers in Ethiopia — Toyo and Origin Solar — are using Chinese-origin wafers to make solar cells in Ethiopia, then assembling those cells into modules in Ethiopia or Vietnam for export to the United States. They claimed that nearly 70% of the finished Ethiopian solar modules include components and processing that are already subject to existing tariffs on Chinese solar goods.
The petition documented that U.S. imports of Ethiopia-origin cells and modules, nonexistent before July 2025, reached $277 million in the second half of 2025 alone and have continued climbing in 2026. The petitioners connected this growth to a corresponding surge in Chinese exports of key cell and module inputs to Ethiopia.
“Our sustained monitoring of these trade flows is delivering results, and this new investigation sends a clear signal to bad actors: we will not stand by while they repeatedly circumvent our trade laws to undercut American manufacturing,” said Tim Brightbill, lead counsel for the petitioners and co-chair of Wiley’s International Trade Practice. “We commend the Dept. of Commerce for following the evidence and initiating this inquiry.”
Both Toyo and Origin Solar submitted clarifying factual information to Commerce, to which Commerce decided it would investigate further. Commerce approximates that it will reach a preliminary determination on Dec. 10, 2026, with a final determination expected around May 10, 2027. Pending the outcome, Commerce has directed Customs to continue suspension of liquidation on entries already covered by the underlying orders and to apply the cash deposit rates that would apply if the merchandise is found within scope. Duties can be retroactive back to the date of initiation of the circumvention investigation.
The industry is still awaiting a final decision in the AD/CVD investigation on solar imports from India, Indonesia and Laos (considered “Solar IV”). This Ethiopian effort is the fifth major country-wide investigation into solar manufacturers allegedly circumventing original AD/CVD orders on Chinese solar components. An investigation request has also been placed on solar imports from Korea, but Commerce has yet to make a decision on whether to proceed.
