By Elsie Kamsiyochi
The United States is preparing to introduce new restrictions on Chinese-made energy inverters, a move that could significantly reshape the country’s renewable energy industry while intensifying the ongoing technology rivalry between Washington and Beijing.
According to sources familiar with the matter, the Trump administration is working with the U.S. Federal Communications Commission (FCC) on a proposal that would ban imports of new foreign-made inverter models, particularly those produced by Chinese manufacturers. The measure is being considered over growing concerns that such equipment could be exploited to interfere with America’s electricity grid and threaten national security.
Energy inverters are a critical part of modern renewable energy systems. They convert electricity generated by solar panels and battery storage facilities into power that can be transmitted through the electrical grid. As the United States rapidly expands its clean energy infrastructure, these devices have become increasingly important to maintaining a stable and reliable power supply.
Officials and security experts have raised alarms that some foreign-made inverters may contain hidden communication capabilities that could potentially be used for unauthorized remote access or cyberattacks. While no public evidence has shown that such capabilities have been used to disrupt the U.S. power grid, concerns have grown following previous discoveries of undocumented communication devices in certain Chinese-made solar equipment examined by American security researchers.
The proposed FCC restrictions would reportedly apply only to new models entering the U.S. market rather than equipment that has already been installed. Sources say the draft rule could be published before the end of the year, although discussions remain ongoing and the proposal could still be revised or abandoned before becoming official.
The effort reflects a broader shift in Washington’s approach toward Chinese technology. After a period of relatively improved relations between the United States and China, the administration has once again adopted a tougher stance on technologies viewed as posing potential security risks. Officials have become increasingly concerned about America’s dependence on Chinese-made products in sectors considered strategically important, including telecommunications, energy infrastructure, drones, and critical minerals.
The renewed push also follows similar action taken in Europe. Earlier this year, the European Commission barred Chinese-made inverters from publicly funded energy projects over cybersecurity concerns. European policymakers are also discussing broader measures under the updated Cybersecurity Act that could identify high-risk suppliers and potentially prevent certain companies from participating in future energy projects.
Security analysts say these parallel developments indicate closer cooperation between the United States and Europe in reducing reliance on Chinese technology. Experts believe Western governments are increasingly treating energy infrastructure with the same level of strategic importance previously given to telecommunications networks.
China currently dominates the global inverter market through major manufacturers such as Sungrow Power Supply and Huawei. Their products have become popular worldwide due to competitive pricing and large-scale manufacturing capabilities. However, Huawei has long faced U.S. sanctions and restrictions over national security concerns and allegations related to intellectual property, claims that the company has consistently denied.
Responding to reports of the proposed U.S. restrictions, the Chinese Embassy in Washington criticized the move, arguing that the United States was unfairly expanding the definition of national security to suppress Chinese companies. The embassy called on Washington to provide a fair and non-discriminatory business environment for Chinese firms operating internationally.
Neither the White House nor the FCC has officially confirmed details of the draft proposal, declining to comment on the ongoing discussions.
The possible inverter ban follows previous FCC actions restricting imports of certain foreign-made drones and networking equipment. Those earlier measures were designed to address similar cybersecurity concerns and allowed companies to apply for waivers before entering the U.S. market. To date, no Chinese companies have reportedly received approval under those exemption processes.
The Department of Defense has already moved in a similar direction. Under the National Defense Authorization Act for fiscal year 2026, the Pentagon is prohibited from purchasing solar photovoltaic cells, modules, or inverters produced by companies considered foreign entities of concern, including many Chinese manufacturers.
Industry experts say the latest proposal demonstrates that energy infrastructure is increasingly becoming part of the broader geopolitical competition between the United States and China. While supporters argue the restrictions are necessary to protect critical infrastructure from potential cyber threats, critics warn they could increase costs for renewable energy projects and further strain trade relations between the world’s two largest economies.
If approved, the FCC’s proposed ban would represent one of the most significant U.S. actions yet aimed at reducing China’s presence in America’s rapidly expanding clean energy sector, reinforcing a wider effort to strengthen domestic energy security while limiting dependence on foreign technology in critical infrastructure.
Source Reuters