2016 was the best year on record for solar energy in the United States. A report from the U.S. Department of Energy at the time showed that
solar energy was responsible for a much larger share of employment in the electric power sector (43%) than the whole of the fossil fuel industry combined (22%). With such robust numbers, it seemed as though solar energy, and renewables more broadly, were about to revolutionize the energy sector in the United States and lead the push towards cleaner energy and lower carbon emissions.
Trump Tariffs Challenge Growth
However, solar energy jobs have stagnated and dipped for two consecutive years since the Department of Energy’s initial report, with a loss of 10,000 jobs in 2017 followed by a further 8,000 in 2018. Although some job losses were foreseen as a result of project finalizations in several states, the biggest contributing factor was President Trump’s tariffs on solar panels . The first shot fired in what would become a wide-ranging trade war with China in 2018, the U.S.’ decision to add a 30% tariff on foreign-produced solar panels had a negative effect on its domestic solar industry, which heavily relies on cheap imports.
The Solar Foundation’s latest report has called the last two years “challenging”. Since that record year, the solar sector has lost close to 18,000 jobs, but the Foundation is confident that 2019 will be the year they bounce back, as it explains: “Based on the Census survey, the solar industry expects a jobs turnaround with 7% growth in 2019.” That being said, the Foundation also acknowledges that its predictions could be wrong, as it was when it projected a 5.2% job growth in the sector for 2018. Despite this, it believes that “there is considerable evidence that the outlook for the solar industry is improving, and that solar employment will resume a growth path in 2019 and beyond.”
Unheeded Warnings
Prior to the implementation of the tariffs, many industry leaders such as the Solar Energy Industry Association’s President and CEO Abigail Hopper warned of the potential damage that could be caused: “The current solar market, including its production and trade patterns, was both foreseeable and predicted by experts across the globe. What's also been predicted are the inevitable job losses in the US and economic harm if tariffs are imposed on one of the fastest-growing industries in America. We urge the president to put America first and say no to solar tariffs."
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