Trump signs solar import minimums expected to benefit Hanwha

Analysts see U.S. module prices rising 20% to 30% after Dec. 4

President Donald Trump signed a proclamation Thursday under Section 232 of the Trade Expansion Act introducing minimum import prices for polysilicon and related solar products, a move expected to improve the competitive position of Hanwha Solutions, which has invested heavily in building a vertically integrated solar manufacturing supply chain in the United States.

The minimum price was set at $21 per kilogram for polysilicon, $100 for ingots and wafers, 22 cents per watt for solar cells and 38 cents per watt for modules, with tariffs also applying to ingots, wafers, cells and modules. The new measures are scheduled to take effect Dec. 4.

The average U.S. import price for solar modules is currently about 27 cents per watt, while modules manufactured in the United States average about 31 cents, both below the new minimum import price. Market analysts estimate that U.S. module prices could rise 20% to 30% after the measures take effect.

That could benefit Hanwha Solutions. Its solar unit, Hanwha Qcells, announced a $2.5 billion investment in 2023 to develop a U.S. “Solar Hub” linking its operations in Dalton and Cartersville, Ga. The Cartersville facility is designed for annual production capacity of 3.3 gigawatts each for ingots, wafers and cells, and combined module production capacity at Dalton and Cartersville is about 8.6 gigawatts a year.

The company’s ability to manufacture ingots and wafers domestically is particularly significant because U.S. production capacity remains relatively limited in those upstream parts of the solar supply chain. Washington is also using the Section 232 measures to encourage additional domestic solar manufacturing capacity, increasing the potential value of Hanwha’s existing U.S. production base.

Hanwha still faces some tariff exposure. U.S. solar cell production capacity remains smaller than domestic module capacity, meaning Hanwha must import some cells produced in South Korea and Malaysia to fully operate its U.S. module lines, and those imports could face additional tariffs. Analysts, however, expect higher module selling prices to absorb much of the increased cost of intermediate materials, improving overall profitability.

Expectations are already being reflected in earnings forecasts. NH Investment & Securities raised its estimate for Hanwha Solutions’ 2027 operating profit by 16.9% to 1.316 trillion won, or about $928 million, a figure that would represent a 48.7% increase from the firm’s projected 2026 operating profit of 885 billion won, or about $624 million.

Cho Jae-won, an analyst at Kiwoom Securities, said South Korean companies had continued making early investments in the U.S. market despite uncertainty surrounding policy. As a result, he said, Hanwha Solutions has established itself as one of a limited number of competitive non-Chinese suppliers.