Waaree Energies Shares Fall 5% Despite US Customs Clarification On Solar Cell Probe

Shares of Waaree Energies, a major player in the renewable energy sector, declined nearly 5% on June 29 despite the company issuing a clarification regarding a recent determination by US Customs and Border Protection (CBP). The stock came under pressure as investors reacted to regulatory uncertainty linked to its US business exposure.

In its filing with stock exchanges, Waaree stated that the CBP, after conducting a detailed investigation and on-site verification of its manufacturing facility in India, confirmed that the company did not export solar modules made using Chinese-origin solar cells to the United States.

The US agency also acknowledged Waaree’s full cooperation during the investigation and did not draw any adverse conclusions against the company.

Additionally, CBP rejected the petitioner’s request to extend any evasion finding to all imports made by Waaree.

The company clarified that this ruling is not a final adjudication. Under US law, Waaree retains the right to seek a de novo administrative review, followed by judicial review at the US Court of International Trade.

The company said it is currently evaluating all legal options with its US trade counsel. De novo refers to a fresh review from the beginning.

Waaree reiterated its commitment to regulatory compliance, transparency, and corporate governance. It added that its US operations continue without disruption, and there is no impact on manufacturing activities, customer deliveries, or ongoing commercial engagements.

The company also said it will continue cooperating with authorities and provide updates as required under applicable regulations.

The development comes amid strict US trade measures, including anti-dumping and countervailing duties (AD/CVD) on solar imports from countries such as China, Vietnam, and Malaysia, aimed at preventing circumvention of trade rules.

In 2025, a group of US solar manufacturers had accused Waaree of evading duties by routing solar cell imports through Southeast Asian countries and misreporting their origin, prompting the CBP to initiate an investigation under the Enforce and Protect Act (EAPA).

Although Waaree has been cleared of the specific allegation involving Chinese-origin solar cells, investor sentiment remains cautious.

As the US is a key export market for the company, any ongoing scrutiny, tariff risk, or prolonged legal process could impact export growth, margins, and overall market confidence.