Guidance
First Solar has revised its 2025 outlook to account for newly imposed US tariffs on imports from the Southeast nations of Malaysia and Vietnam, and anticipated AD/CVD tariffs against exports from India. It admitted that while these raise international sales costs and logistics challenges, adding to customer uncertainty, the company’s management sees these as temporary. In the long term, it expects to benefit from a more level playing field that these tariffs and investigations will create.
According to the manufacturer, existing tax credits for projects started by the end of 2024 and finished by 2028 remain unchanged, which supports its current US contracts. The new tax credit rules of the Trump administration are likely to drive fresh demand as projects that commence construction by July 4, 2026, will be eligible for tax credits under the changed rules. As tighter rules on foreign materials begin, First Solar expects to secure orders and may even look at the business case to establish one or more lines in the US, shared the management.
“In our view, the recent policy and trade developments have, on balance, strengthened First Solar’s relative position in the solar manufacturing industry,” said First Solar CEO Mark Widmar. “In addition, we believe that on a fundamental basis, with its cost-competitive energy and faster time to power profile, the case for utility-scale solar generation is compelling regardless of the policy environment, which places First Solar, a utility-scale leader, in a position of strength.”
Citing strong demand from the domestic market and $63 million in contract terminations received during Q2, it has raised net sales guidance for the year to $4.9 billion to $.57 billion for 16.7 GW to 19.3 GW of volume sold, including 5.0 GW to 6.0 GW in Q3. This compares to its previous guidance of $4.5 billion to $5.5 billion and 15.5 GW to 19.3 GW.
Analysts at Roth see an upside for First Solar going ahead as the US Customs and Border Protection (CBP) goes for ‘greater enforcement or re-enforcement' of the Uyghur Forced Labor Protection Act (UFLPA). While this re-enforcement may be 6–12 months, it could boost First Solar's prospects in terms of higher priced modules.
Additionally, First Solar provided an update to the patent infringement lawsuit for TOPCon technology, which it launched in July 2024. During the reporting quarter, the company filed a patent infringement lawsuit against Canadian Solar and its related entities, following the initiation of a similar move against China’s JinkoSolar and its related entities in February 2025.
