Indian solar stocks plunged on Wednesday following the US government's announcement of high preliminary tariffs on solar imports from India.
Waaree Energies, Premier Energies, and Vikram Solar suffered losses in early trading on February 25, with indications of preliminary tariffs of 126% on solar imports from India.
Waaree Energies plummeted by as much as 14.2% to ₹2,591.1 on the NSE. Premier Energies opened 10% lower at ₹699.35, although there was a recovery later. Vikram Solar fell more than 7.5% to ₹171 on the NSE.
This comes after the US Commerce Department concluded that Indian solar manufacturers were given unfair subsidies, allowing them to sell their products to other countries at lower prices than American companies.
According to a report by Bloomberg, the initial tariffs are between 86% and 143% for Indonesia and 81% for Laos.
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This is in addition to the global tariffs that were previously announced by President Trump, which were blocked by the US Supreme Court last week. Trump later announced new tariffs of 10%, which could go up to 15%.
Export exposure drives investor reaction
Market responses are indicative of the level of exposure that each company has to the US market. According to a report by CNBC-TV18, Waaree Energies has 29% export exposure, Vikram Solar has 16%, and Premier Energies has no export exposure, which means that its fall is largely a result of market sentiment and not much to do with actual business impact.
As per the BloombergNEF data, India, Indonesia, and Laos together constituted 57% of US solar module imports in the first half of 2025. This is because developers had increasingly turned to these countries after Washington imposed duties on four Southeast Asian suppliers.
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According to the US Commerce Department, Indian solar imports were valued at $792.6 million in 2024, which is more than nine times the value of 2022 imports.
About the companies
Waaree Energies is a company that deals with solar modules and cell manufacturing, as well as EPC contracts and power projects. Vikram Solar is a leading module manufacturer that provides EPC and O&M services. Premier Energies deals with solar cell and module manufacturing, EPC projects, and solar power generation.
The latest development is yet another uncertainty that the industry is facing, especially those with high exposure to the US market.
