On August 6, 2026, the White House issued another proclamation Adjusting Imports of Polysilicon and its Derivatives into the United States. This is the follow up to the Section 232 Investigation on polysilicon and polysilicon derivative products that was initiated in July 2025.
The proclamation concurs with the previous Commerce Department finding that imports of polysilicon threatens national security and that the production of domestically produced polysilicon is essential to the domestic semiconductor and solar products industries. The report also blames global oversupply for the loss of U.S. market share. See White House Fact Sheet.
Key Takeaways: Minimum Import Prices Go Into Effect on December 4, 2026
- Effective December 4, 2026, the U.S. will institute minimum import prices for both materials and derivative products. See Annex I.
- Tariffs will stack on top of existing duties which means that existing Section 301 (China); Section 301 (Forced Labor); any antidumping and countervailing duties; any existing Section 232 duties; and normal duties will be added together to determine if it meets the minimum import price.
- Polysilicon and derivatives will be subject to an additional 15% tariff effective on December 4, 2026, and the list of products is provided at Annex II.
- These duties will replace a safeguard tariff on solar cells and modules that expired in February 2026. However, the scope of the Section 232 tariffs is broader, applying to further upstream polysilicon, ingots and wafers.
- Importer certification required: Importers must file documentation at the time of entry establishing or certifying either that:
- Any first arm’s-length sale in the U.S. will occur at or above the applicable MIP or
- Any first arm’s-length sale is pursuant to fixed terms in a contract entered into prior to the proclamation (see grandfathering provision below)
- Any relevant import sale (including covered downstream products) below the minimum import price floor will pay a tariff equal to the difference between the entered value on the customs entry summary and the MIP.
- Existing supply contracts that were time-limited and in effect prior to August 6, 2026, will be exempt and the new minimum import price and domestic resale price floors are waived.
- The tariff on products from the European Union, Japan, Korea, Taiwan, Switzerland and Liechtenstein is capped at 15%, inclusive of MFN. For products from the UK, the tariff is 10%, rather than 15%.
- Products subject to the tariffs admitted into a U.S. FTZ on or after December 4, 2026 may be admitted only under “privileged foreign status”
- Chapter 98 exemptions will be available only after establishing eligibility and eligibility is not guaranteed.
- Duty drawback will only be available with respect to these Section 232 tariffs if the article is not subject to an AD/CVD order, is a product of the UK, EU, Japan, Korea, Switzerland, Liechtenstein, Mexico, Canada, and the polysilicon in the article is sourced from one of these countries.
- There will be a new “onshoring program” established enabling company specific negotiations to occur with the Department of Commerce. The requirements are numerous and will be tailored to each company’s onshoring plan.
- Companies with approved onshoring plans will be allowed to import Covered Products and necessary production equipment without paying “applicable Section 232 tariffs”(unclear if limited to this 232 action) under specific conditions.
- The proclamation also gives Commerce new compliance and enforcement authority including the authority to promulgate new rules and regulations.
- Commerce can monitor imports and penalize those companies stockpiling polysilicon or polysilicon derivatives prior to December 4, 2026.
- Those importers that fail to comply with import rules; or if the importer’s documentation is found to be “materially inaccurate”, then CBP is authorized to prohibit that importer and its affiliates form importing polysilicon and derivatives permanently.
The Husch Blackwell International Trade and Supply Chain team continues to monitor developments and will provide updates as they become available. If you have questions about coverage, timing, or supply chain impacts, please contact your Husch Blackwell attorney.