New duties on a key material
President Trump has signed a proclamation that places a 15 percent tariff on imported polysilicon and products made with the material. Polysilicon is a key raw material in semiconductors and crystalline silicon solar panels. The order also sets minimum import prices. They include $21 per kilogram for polysilicon, $100 per kilogram for ingots and wafers, $0.22 per watt for solar cells and $0.38 per watt for solar modules. The new duties take effect on December 4, 2026. They replace a narrower safeguard tariff on solar cells and modules that expired in February.
A national security case
The move follows a Section 232 investigation by the Commerce Department. Investigators found that the volume and circumstances of polysilicon imports threaten U.S. national security. China accounts for most of the world's polysilicon production. Roughly 70 percent of the $30 billion in global polysilicon projects under way are located in China. The White House says the price floors will block products sold below cost from entering the U.S. market. That, in turn, is meant to let American manufacturers sell at prices where they can turn a profit.
Mixed reactions across industries
Domestic producers welcomed the decision. They have long argued that cheap imports make it impossible to compete. Solar developers and chip buyers see the move differently. They warn that higher input costs will raise prices for panels and electronics. Tariff levels vary by country. Covered products from Japan, South Korea, Taiwan, Switzerland, Liechtenstein and European Union members face a combined duty of 15 percent. Products from the United Kingdom face 10 percent. The Commerce Secretary can adjust the minimum prices based on market conditions. The proclamation is the latest step in the administration's push to rebuild domestic supply chains for chips and clean energy hardware.
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