[Special Stock] US Imposes Tariffs on Chinese Solar Panels... Hanwha Solution Up 11.81%

Hanwha Solutions' stock is showing strength as some of the U.S. Trade Representative (USTR)'s tariff hikes on Chinese imports are set to take effect on August 1.

As of 11:41 a.m. on the 23rd, Hanwha Solutions is trading at 32,200 KRW, up 3,400 KRW (11.81%) from the previous trading day.

Earlier, on the 14th, the Biden administration criticized China's overproduction and unfair trade practices and announced tariff increases on $18 billion (approximately 24.6 trillion KRW) worth of Chinese imports including steel, aluminum, semiconductors, electric vehicles, and solar panels. According to major foreign media on the 22nd (local time), the U.S. Trade Representative (USTR) stated that the public comment period will end on July 28.

On the same day, Kyobo Securities analyst Park Geon-young maintained a buy rating and a target price of 40,000 KRW for Hanwha Solutions, saying, "The renewable energy business (solar power) is expected to improve profitability starting in the second half of the year."

He added, "Considering the inventory situation of solar modules in the U.S., sales in the renewable energy business are expected to decline by 26.8% year-on-year to 4.8 trillion KRW this year, and operating losses are estimated to turn to a deficit of 79.6 billion KRW. However, solar module prices in the U.S. are expected to stabilize in the second half. Beyond the price issue, Hanwha Solutions plans to expand its business long-term from module production and installation to power generation."