Analysts Hana Securities expect U.S. restrictions on Chinese solar products to remain, boosting South Korean solar stocks Hanwha Solutions (009830) and OCI Holdings (010060)

On Wednesday, shares of Hanwha Solutions and OCI Holdings rose significantly as investors reacted to the likelihood that U.S. restrictions on Chinese solar products would remain in place during the upcoming Trump-Xi summit.

Analyst Yoon Jae-sung from Hana Securities noted that the U.S. government views solar energy as a strategic industry linked to national security, making it improbable for any easing of restrictions to occur. He emphasized that any tariff discussions would likely focus on non-strategic goods, reinforcing the importance of building a domestic supply chain for solar products.

The recent stock price increase followed a statement from Hanwha Solutions' solar unit Qcells, which welcomed U.S. measures aimed at preventing illegal stockpiling of imported solar panels. Qcells, which has invested $2.5 billion in expanding its manufacturing in Georgia, argued that these measures would protect American manufacturers from being undermined by foreign competition.

OCI Holdings also has a notable presence in the U.S. market, with its subsidiary OCI Energy recently starting construction on a new solar facility in Texas. This context underscores the growing significance of solar energy in both national security and economic strategy for the U.S

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