The White House stated there will be "no extensions" for solar tariffs past the August 1 deadline, likely increasing costs for Americans looking to install solar panels, according to EnergySage.
What's happening?
The probe leading to these tariffs started during the Biden presidency when U.S. manufacturers argued that foreign producers were selling excessively cheap products in American markets.
Those who favor these tariffs believe they'll strengthen domestic manufacturers that have already invested in U.S. production, though typical homeowners will pay more for installations.
"Tariffs are like the game whack-a-mole. As soon as you crack down on manufacturing in one country, another springs up to take its place," Aaron Nichols, an advocacy specialist at Exact Solar, said, per the report.
Still, adding solar panels ranks among the best ways to lower monthly energy costs while decreasing the amount of pollution you produce. If you're considering solar for your home, check out some of the free tools from EnergySage for quick estimates and quotes from vetted installers.
Why are solar tariffs concerning?
These tariffs risk slowing solar adoption as it gains momentum and widespread acceptance. Despite the recent gains — with solar setups growing 51% in 2023 and hitting nearly 50 gigawatts in 2024, according to Nichols — the new fees will create hurdles for the market.
Battery storage also faces especially tough challenges since America still relies heavily on Chinese battery imports. This could hold back clean energy progress during an important period.
Looking at history shows real drawbacks. According to the EnergySage report, the Solar Energy Industries Association found that tariffs during President Donald Trump's first term resulted in 62,000 fewer solar-related jobs, costlier installations for homeowners, and $19 billion in solar investments that never happened.
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Additionally, Congress has canceled the Investment Tax Credit, or solar tax credit, effective December 31, which means you must finish your solar installation by year-end to receive the 30% tax credit.
What can I do about rising solar costs?
Despite these hurdles, solar remains a worthwhile investment. Since 2000, Americans have installed over 219 gigawatts of solar capacity, powering more than 37 million homes.
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The upfront cost 💰 For those planning to go solar this year, Adam Bushell, director at AB Electrical & Communications, told EnergySage that he suggests seeking quotes now to secure better prices before tariffs change market rates.
EnergySage's free services can guide you through this process and help you access nearly $10,000 in solar purchase and installation incentives. Its state-by-state map tool reveals average home solar system costs and available incentives in your area.
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These resources help you find optimal pricing for home solar while claiming all financial benefits before they disappear.
Even as prices may rise, solar stands as America's most affordable new energy option. The solar industry has handled tariffs in the past and will adjust again.
"We've been here before, we adapted, and we'll do it again," Nichols said.
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