• Business Business

Energy experts address growing concerns that tariffs could impact the solar industry: 'We've been here before'

"The industry is heavily impacted by global trade, tariffs, and incentives from the government."

"The industry is heavily impacted by global trade, tariffs, and incentives from the government."

Photo Credit: iStock

Solar experts at EnergySage and elsewhere are counting on the sector to be as dependable as the rising sun. That's despite changing market conditions that have some in the field calling the industry a "solar coaster," according to Pennsylvania's Lehigh University. 

Photovoltaic technology "is a pretty intense ride for a lot of people in the business," San Francisco's Sungrow Power Supply official Hans Zheng said in the Lehigh article. "The industry is heavily impacted by global trade, tariffs, and incentives from the government."

Some of the measures can have mixed results. 

Tariffs, one of the next loops on the track, include an astounding 3,521% levy on Southeast Asian-made panels. The rates were added to counter the alleged dumping of cheap products in the U.S. The strategy has been used by multiple presidents, impacting pricing and equipment availability, according to the BBC and EnergySage. The current tariff is unusually high. 

"We've been here before, we adapted, and we'll do it again," Aaron Nichols, advocacy specialist at Pennsylvania's Exact Solar, told EnergySage. The article noted the sector's resilience through the COVID-19 pandemic. 

EnergySage is a free online tool that helps solar customers find installers and incentives worth, on average, up to $10,000 for products and setup. Tax credits of 30% are still available to offset installation costs, for example, though President Donald Trump has said he intends to nix the tax breaks along with the Inflation Reduction Act. The move, however, would require an act of Congress, making its future uncertain. That means adding solar is a value that could save you thousands of bucks. 

Benefits have been confirmed by a government study, as well. Analysis showed that households with solar panels save on average $700 annually, even after expenses. 

Panels are also getting bigger and more efficient. Most quotes are for larger, 450-watt units. Efficiency rates — the amount of sunlight turned into electricity — are averaging 20% or higher, all per EnergySage

What's more, innovators are working on solar cells that can garner a 25% mark. Perovskite versions have the potential to reach even greater percentages if their longevity concerns can be addressed. And the suncatchers are being utilized in increasingly unique settings, from train tracks to balconies. 

Renewables generate about 20% of the country's electricity, with solar between 3% and 4%, according to government data. The cleaner power prevents heat-trapping air pollution, linked by NASA to increased risks of severe weather. The storm damage often includes dropped power lines and outages. A home-based solar system with a battery backup can be great protection that keeps your electric vehicle charged and your milk cold. 

What is stopping you from upgrading to a heat pump system?

The cost of installation 💵

I live in a cold area 🥶

I don't know enough about it 🤷

I already have one 😎

Click your choice to see results and speak your mind.

More proof of solar's resilience can be seen in how it performed during Trump's first term, when it grew 128% despite dirty-fuel-friendly rulemaking, all per EnergySage. In 2024, the industry generated more than $70 billion in private investment, according to the Solar Energy Industries Association. 

"As panels improve, more homeowners are being offered higher-output systems — meaning fewer panels, more power, and a better return on investment," Emily Walker, director of content and insights at EnergySage, said.

Join our free newsletter for good news and useful tips, and don't miss this cool list of easy ways to help yourself while helping the planet.

Cool Divider