Waaree, Premier Energies plunge up to 10% after US slaps 126% initial solar import duty. What are experts saying?


Shares of Waaree Energies, Premier Energies and Vikram Solar, among others, witnessed a sharp selloff on Wednesday, plunging up to 10.50% after the Trump administration imposed preliminary duties of 126% on solar imports from India, citing unfair manufacturing subsidies.

Waaree Energies tumbled 14%, before closing 10.5% lower, while Premier Energies hit over 6% in the red. Vikram Solar shares fell over 7% to an intraday low of Rs 172 on the BSE.

The US Commerce Department also set initial duties ranging from 86% to 143% for Indonesia and 81% for Laos. The rates are based on a determination of foreign subsidies that the US says allowed exporters from these countries to undercut products from domestic solar producers.

These duties would be different from Trump’s sweeping global tariffs, which the US Supreme Court struck down last week. In response, Trump issued new 10% tariffs that he has threatened to raise to 15%. The president also struck a bilateral trade deal with India earlier this month that sought to reduce economic tensions between the countries.

India, Indonesia and Laos accounted for 57% of solar module imports to the US in the first half of 2025, according to BloombergNEF. Some developers had shifted to sourcing panels from these countries after the US imposed steep duties on four Southeast Asian countries that had, at one point, made up the bulk of imports.


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The relatively high duty rates will make the US market largely unavailable for Indian solar panel manufacturers, Citi analyst Vikram Bagri wrote in a research note on Tuesday.

“The US tariffs on Indian solar imports may slow exports and push excess production into the domestic market, increasing price competition. However, the impact could vary from manufacturer to manufacturer, as many domestic manufacturers are importing cells from low-duty countries and assembling panels in India for export.” Tarun Padhi, Senior VP- Operations Datta Power Infra Private limited DPIPL

Ravi Singh, Chief Research Officer at Master Capital Services said that Waaree is seen as the most vulnerable because roughly one-third of its Q3 revenue came from overseas markets. Vikram Solar also has meaningful exposure, with about 20% of its order book linked to exports. If these duties stay, margins and future orders could take a hit. Premier Energies, however, has relatively lower export dependence, which may limit the impact. In the near term, uncertainty may keep the stocks volatile, but strong domestic solar demand could provide some support.

(Disclaimer: Recommendations, suggestions, views and opinions given by experts are their own. These do not represent the views of The Economic Times.)



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