The shares of Waaree Energies dropped around 8 percent on September 26 after US customs officials said that they were investigating the Indian company over suspected tariff evasion.
The shares hit an intraday low of Rs 3,198 apiece on Friday.
All about US' tariff evasion probe:
US customs officials cited by Reuters said they were investigating if the Indian solar company sidestepped US tariffs on Chinese-made cells and panels by labeling them as 'Made in India'.
The American Alliance for Solar Manufacturing Trade Committee, a coalition of domestic solar manufacturers, had requested the investigation in letters to the agency earlier this year. The customs official informed attorneys for Waaree Energies and the coalition about the probe.
In its memo quoted by Reuters, the agency said that there was reasonable suspicion that Waaree Energies didn’t label some of its imported products, which are subject to antidumping and countervailing duties imposed for years by America on solar cells and panels made in China and other Asian nations.
It said it was taking steps to protect US revenues, such as requiring cash deposits from the company while the investigation is ongoing.
What is the American Alliance for Solar Manufacturing Trade Committee?
The American Alliance for Solar Manufacturing Trade Committee, which includes leading American solar module manufacturers like Qcells and First Solar, welcomed the probe. “Indian solar products have been among the lowest prices in the market, and now we know why that's possible: by using Chinese cells and not paying the duties that apply to them," Tim Brightbill, the group's attorney, said in a statement.
"Waaree has in the past co-operated with the US investigations and will continue to co-operate in ongoing investigations. We are a responsible corporate citizen in every country we operate in and we abide by all applicable local laws and regulations," the company said in an exchange filing.
Waaree Energies share price history:
Waaree Energies shares have dropped nearly 6 percent in the past five days, but gained more than 35 percent in the past six months. The stock is currently up nearly 15 percent in 2025 so far.
Its P/E ratio currently stands at over 43. Yes Securities recently initiated a 'Buy' call on the stock, with a target price of Rs 4,610 apiece. This implies an upside potential of nearly 34 percent from the stock's previous closing price.
Waaree Energies financials:
The company in July reported an 89 percent increase in consolidated net profit at Rs 745 crore for the quarter ended June 30, 2025. Its consolidated net profit was Rs 394 crore in the year-ago period. The firm's revenue from operations rose 30 percent to Rs 4,426 crore in Q1 FY26, as against Rs 3,409 crore in Q1FY25.
Waaree Energies US operations:
Waaree Energies has notable amount of operations in US. Earlier this year, the company had announced that it has started commercial production of solar modules at its manufacturing facility in US, becoming the first Indian renewable energy company to build a PV module manufacturing facility in Brookshire, Texas.
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(With inputs from Reuters)
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