Federal government revokes solar steel tariffs following industry appeal

The Australian federal government has revoked plans to impose new tariffs on imported steel for solar projects. Nextpower Australia managing director Peter Wheale stated, "I am incredibly pleased to advise – on 5 November 2026, the Australian Minister for Industry formally accepted the Anti-Dumping Review Panel’s recommendation following Nextpower’s appeal."

The Minister agreed this week to revoke the June 2026 decision that had extended trade measures to drilled torque tubes. The revocation follows an industry appeal and the subsequent review by the Anti-Dumping Review Panel.

The Reversal Details

In June, Industry Minister Tim Ayres consented to levy a 48 per cent tariff on hollow steel tubing. This action aimed at goods originating from China, Taiwan, Malaysia, and South Korea, with particular impact on the torque tubes used to hold solar modules. The initial ruling was intended to take effect retroactively to September of the prior year. By rescinding these intentions, the administration eliminates the extra trade restrictions that were put in place beginning September 04, 2025.

Industry Warning

In its appeal, Nextpower argued that the proposed trade measures would undermine investor confidence and hinder energy transition goals. The company outlined specific operational risks, including:

• Reduced investment confidence in renewable energy projects
• Adverse impacts on broader energy transition outcomes
• Serious collateral harm from failing to distinguish between genuine circumvention and downstream fabrication integral to project delivery

Nextpower emphasized that these were not speculative risks but direct, near-term consequences for projects already underway.

Remedies and Context

The revocation enables developers to recover duties already paid, release associated securities, and withdraw outstanding duty demands. While the specific rationale behind the minister’s decision to accept the review panel’s recommendation remains unclear, the immediate effect is to restore normal trade flows for these solar components. Renew Economy is currently seeking confirmation and comment from Minister Ayres’ office regarding the final basis for the reversal.

Solar Sunshot and Supply Chain Pressures

The tariff reversal aligns with the $800 million Solar Sunshot scheme, managed by Arena, which aims to secure Australia’s position in the global solar supply chain while reducing levelised energy costs. Arena’s general manager of solar investment, Dan Sturrock, stated that the latest funding round targets cheaper construction methods and system integration, specifically addressing racking prices. In a previous interview, Arena acknowledged that while progress has been made in lowering panel and cell costs, significant challenges remain in reducing utility-scale photovoltaic construction expenses.

The original September appeal letter, co-signed by developers including OX2, Lightsource, European Energy, and Pacific Energy, argued that Australian manufacturing cannot adequately meet demand for imported steel tubing. Peter Wheale, Nextpower Australia managing director, noted that the reversal provides a strong basis for suppliers to recover duties and reassess outstanding demands.