Could Chinese Authorities Be Controlling Solar Panels Installed in the US

The International Energy Agency (IEA) estimates that as of 2024, over 80% of global photovoltaic solar panel production took place in China. Beijing dominates the global solar panel supply chain, and a vast majority of the solar panels installed across the U.S. were manufactured in the East Asian country.

This dominance grants China an uncomfortable level of control in a critical and increasingly strategic industry. Recent reports now suggest that China may even exert direct control over some Chinese-manufactured solar panels installed in the U.S. via hidden communication devices.

Reuters first reported the discovery of undisclosed communication devices embedded in inverters of Chinese-made solar panels. These devices are commonly used across several industries to allow manufacturers to issue software updates, fix bugs, and enhance functionality without the need for in-person maintenance. Many electric vehicle manufacturers also use similar over-the-air update technology to enhance their vehicles’ performance.

The concern, however, lies in the fact that Chinese manufacturers allegedly failed to disclose the presence of these communication devices to end users. According to Gizmodo, this lack of disclosure may have been intentional. Had users been informed, they likely would have taken defensive cybersecurity measures such as installing firewalls or disabling remote access. Without this knowledge, however, they remained vulnerable to potential manipulation or exploitation of these devices.

In a worst-case scenario, such hidden devices could be used to shut down solar panel inverters remotely, potentially depriving parts of the U.S. grid of electricity during critical moments, such as a national emergency or military conflict. While this scenario remains speculative and unlikely, experts warn that the mere existence of such vulnerabilities could be exploited by malicious actors. Reuters’ sources claim the communication devices may serve as undocumented channels that can bypass traditional security measures and breach protected systems.

One unnamed source stated that these devices offer a built-in capability to disable parts of the U.S. grid. Notably, in November 2024, there was an incident in which Chinese-made solar inverters in the U.S. and other countries were reportedly disabled remotely from China. A spokesperson from the Chinese government denied these allegations, insisting that Beijing has no intention of disrupting power grids in foreign nations.

The discovery of rogue communication devices raises serious questions about the risks of relying so heavily on a foreign power for such a vital part of the U.S. energy infrastructure. As tensions with China continue to escalate, policymakers and industry experts are calling for urgent investment in a domestic solar panel supply chain to protect national security and reduce dependence on potentially compromised foreign technology.

Such concerns make the case for using North-American sourced solar systems from firms like SolarBank Corp. (NASDAQ: SUUN) (Cboe CA: SUNN) (FSE: GY2) that don’t pose a similar risk to those from China, a country engaged in an ideological and economic conflict with the West and America in particular.

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