Indonesia’s solar panel exports have soared in recent years, reaching record highs despite mounting trade pressure from the United States. Now, a petition filed by U.S. manufacturers could trigger new tariffs that threaten Indonesia’s growing presence in the clean energy market.
Indonesia Solar Panel Exports See Record Growth
Indonesia has rapidly scaled its solar panel exports to the United States. According to data from Statistics Indonesia (BPS), exports under HS code 85414300 rose from just US$19.88 million in 2021 to US$553.44 million in 2024. In the first five months of 2025 alone, shipments reached US$433.08 million, indicating continued strong demand.
This surge reflects global interest in affordable renewable energy components. The U.S., as a key market, has played a major role in Indonesia’s growth trajectory. However, that relationship now faces potential disruption.
U.S. Antidumping Investigation Raises Trade Concerns
On July 17, 2025, a coalition of U.S. solar manufacturers filed a petition to the U.S. Department of Commerce (USDOC) accusing producers from Indonesia, India, and Laos of dumping solar panels in the American market. They claim these products are sold at unfairly low prices, undercutting domestic competition.
The petition marks the first step in a possible antidumping (AD) and countervailing duty (CVD) investigation. The USDOC has 20 days to decide whether the petition meets legal and evidentiary standards. If approved, a formal investigation will begin.
“If approved, then the investigation process will begin immediately. The Indonesian government and businesses will have the opportunity to provide clarifications and defenses in this AD/CVD case,” said Reza Pahlevi, Director of Trade Security at the Ministry of Trade.
This filing also targets panel exporters from Malaysia, Vietnam, Cambodia, and Thailand. Past probes have resulted in tariffs of up to 3,500%.
Indonesia’s Renewable Energy Industry at a Crossroads
While the U.S. remains an important market, Indonesia has set its sights on broader clean energy goals. The country recently signed an agreement to supply Singapore with 3.4 gigawatts of clean electricity by 2035, capitalizing on growing regional demand driven by the data center boom.
In support of this ambition, the Dragon Project in West Java will begin producing battery energy storage systems (BESS) by 2028, with a capacity of up to 40 gigawatt-hours annually. The project, led by a consortium including Contemporary Amperex Technology Ltd. (CATL) and Indonesia Battery Corporation (IBC), aims to strengthen Indonesia’s renewable energy infrastructure.
Government Responds to Protect National Interests
Indonesia has responded swiftly to the U.S. petition. Reza emphasized the government’s commitment to fair and transparent trade procedures.
“We will continue coordinating with relevant exporters, associations, Indonesia’s trade representatives in the U.S., and related ministries or agencies to prepare the necessary steps to protect Indonesia’s interests and ensure that exports to the U.S. continue smoothly,” he said.
Reza also stressed Indonesia’s respect for U.S. trade remedy mechanisms, noting the country’s importance as a trading partner.
Read More: US-Indonesia Agree to Lowering Tariffs in New Trade Deal
Solar Panel Manufacturing Indonesia Set to Expand
Domestic production capabilities are expanding alongside export growth. Several large-scale solar panel manufacturing projects are underway in West and Central Java. Pertamina New & Renewable Energy (Pertamina NRE) has partnered with China’s LONGi Green Technology to build a facility in Deltamas with a capacity of 1.4 GW per year.
The factory will use Hybrid Passivated Back Contact (HPBC) 2.0 type N technology to produce high-efficiency solar modules. Meanwhile, PT Trina Mas Agra Indonesia (TMAI), a joint venture between Trina Solar, Sinar Mas Group, and PLN Indonesia Power, launched Indonesia’s largest integrated solar panel plant in June 2025.
These developments aim to solidify Indonesia’s role in the global clean energy supply chain while boosting national manufacturing.
Read More: Indonesia’s First Nuclear Power Plant Backed by Pertamina NRE
Global Push for Clean Energy Faces Policy Friction
The sharp rise in Indonesia solar panel exports reflects strong global demand, but policy tensions could stall momentum. As the U.S. mulls potential tariffs, Indonesia continues to build its renewable energy ecosystem, balancing export growth with domestic industrial development. How the U.S. investigation unfolds may determine the pace and direction of Indonesia’s clean energy ambitions.
Source: hijau.bisnis.com
Image: zstockphotos
