First Solar Tariff Revisions Lift 2025 Sales Guidance and Shift Module Mix

First Solar

First Solar tariff revisions are reshaping 2025 sales plans and regional mix. The company raised guidance after negotiated duties on Asian imports. First Solar tariff revisions also sharpen cost risks and near-term pricing dynamics.

Guidance rises as duties reshape import economics

First Solar tariff revisions include 25pc on Malaysia and 20pc on Vietnam. As a result, management lifted 2025 module sales to 16.7–19.3GW. International sales now target 7.2–9.5GW, up from 6–9.5GW. US-made volumes remain 9.5–9.8GW for 2025. The firm still warns of Section 232 uncertainty on polysilicon. It also monitors a possible 25pc levy on India.

Costs, capacity ramp, and backlog support the outlook

Tariffs could cost $70mn/yr on production and $80–130mn on imports. If customers resist price pass-throughs, First Solar could idle lines. However, capacity ramps in Alabama continue, with Louisiana qualification expected in October. Second-quarter output reached 4.2GW, including 2.4GW in the US. International plants produced 1.8GW in the quarter.

Commercial traction remains solid with a 64GW bookings backlog through 2030. Meanwhile, revenue guidance increased to $4.9–5.7bn for 2025. Second-quarter revenue rose 9pc year on year to $1.1bn. Quarterly profit slipped 2pc to $342mn amid tariff and mix effects.

Policy remains the key swing factor for pricing and margins. US baseline import tariffs sit at 10pc since 5 April. First Solar tariff revisions interact with that floor to influence landed costs. Therefore, international units could flex lower if pass-throughs stall.

The Metalnomist Commentary

Tariff-driven repricing favors domestic thin-film supply in the near term. Yet margin outcomes hinge on pass-through discipline and buyer mix. Watch the India tariff risk and Section 232 actions; either could tighten module spreads again.