Latest news with #ChineseSuppliers
South China Morning Post
21-05-2025
- Business
- South China Morning Post
China's rare earth exports surged ahead of Trump trade war escalation
Overseas buyers may have stockpiled strategically important rare earths ahead of Beijing's export controls on the critical minerals amid China-US trade tensions and reliance on Chinese suppliers, data released by Beijing showed. Advertisement The export volume of rare earth elements – essential for consumer electronics, electric vehicles and defence systems – reached a nine-month high of 5,600 tonnes in March, up 20.3 per cent year on year. In April, sales were down but still rose 4.8 per cent year-on-year, to 4,785 tonnes. Specifically, outbound shipments of niche rare earth metals, including metallic scandium and metallic yttrium, increased by 20.9 per cent year on year in April to 525.5 tonnes, up 39.9 per cent from March. Shipments of dysprosium oxide, critical for the metal used in nuclear reactor control rods, increased by 24.1 per cent from a year earlier to 5.16 tonnes. Rare earths consist of 17 elements. On April 4, Beijing added seven of these – samarium, gadolinium, terbium, dysprosium, lutetium, scandium and yttrium – to its export control list after US President Donald Trump announced 'reciprocal tariffs' two days earlier. Advertisement Chinese authorities have not disclosed details about overseas rare earth sales.
Daily Mail
16-05-2025
- Daily Mail
Revealed: China has secretly installed kill switches in solar panels sold to the West - which could see Beijing plunge its enemies into darkness in the event of WW3
Engineers have discovered 'kill switches' embedded within Chinese-manufactured parts in US solar farms, raising fears that Beijing could manipulate America's power supplies or even 'physically destroy' the grid. Energy officials are now assessing the risks posed by small communication devices discovered inside power inverters - an integral component of renewable energy systems that connects them to the power grid. While inverters are built to allow remote access for updates and maintenance, the utility companies that use them typically install firewalls to prevent direct communication back to China. But rogue communication devices not listed in product documents have been found in some solar power inverters by US experts who strip down equipment hooked up to grids to check for security issues, two sources told Reuters. Over the past nine months, undocumented communication devices, including cellular radios, have also been found in some batteries from multiple Chinese suppliers, one of them said. Using the rogue communication devices to skirt firewalls and switch off inverters remotely, or change their settings, could destabilise power grids, damage energy infrastructure and trigger widespread blackouts, experts said. 'That effectively means there is a built-in way to physically destroy the grid,' one of the sources declared. 'We know that China believes there is value in placing at least some elements of our core infrastructure at risk of destruction or disruption,' said Mike Rogers, a former director of the US National Security Agency. 'I think that the Chinese are, in part, hoping that the widespread use of inverters limits the options that the West has to deal with the security issue.' The two sources declined to name the Chinese manufacturers of the inverters and batteries with extra communication devices, nor say how many they had found in total. But the existence of the rogue devices had not previously been reported, and the US government has not publicly acknowledged the discoveries. Asked for comment, the US Department of Energy (DOE) said it continually assesses risk associated with emerging technologies and that there were significant challenges with manufacturers disclosing and documenting functionalities. 'While this functionality may not have malicious intent, it is critical for those procuring to have a full understanding of the capabilities of the products received,' a spokesperson said. Work is ongoing to address any gaps in disclosures through 'Software Bill of Materials' - or inventories of all the components that make up a software application - and other contractual requirements, the spokesperson said. A spokesperson for the Chinese embassy in Washington told Reuters: 'We oppose the generalisation of the concept of national security, distorting and smearing China's infrastructure achievements.' Meanwhile, in the UK, shadow energy minister Andrew Bowie called on Secretary for Energy Security and Net Zero Ed Miliband to carry out an 'immediate pause and review' of its efforts to transition to green power. British solar panels use parts manufactured in a variety of countries and it is not known whether the Chinese 'killswitches' are present in any power converters installed in wind or solar farms in the UK. The Government is currently conducting a review of Chinese renewable energy technology in the energy system, but is still pressing ahead with its efforts to transition away from fossil fuels. Bowie told The Telegraph yesterday: 'We were already aware of concerns being raised by the Ministry of Defence and the security and intelligence services surrounding possible monitoring technology on Chinese-built wind turbines. 'Ed Miliband's Made in China transition – clean power at the expense of everything else – is a threat to our national security and makes a mockery of his claims on energy security. 'It is essential that an immediate pause and review is carried out to ensure the safety and security of our energy system.' It comes as an energy minister pledged earlier this week to put solar panels on 'every possible rooftop right across the country'. Chinese soldiers carry the flags of (L to R) the Communist Party, the state, and the People's Liberation Army during a military parade at the Zhurihe training base 'If there is a rooftop that we can put solar panels on, we are keen to do so,' Michael Shanks told the Commons, as he claimed the public are in support of solar. The Government announced plans to create 'solar carports' earlier this month, with supermarkets, offices and shopping centres required to install solar panels over their car parks. Housebuilders will also be forced to fit solar panels to all new properties by 2027, under Government plans. Chinese dominance in the manufacture of renewable energy technology - particularly power inverters - is stark. Huawei is the world's largest supplier of inverters, accounting for 29% of shipments globally in 2022, followed by Chinese peers Sungrow and Ginlong Solis, according to consultancy Wood Mackenzie. Huawei and Sungrow together were reportedly responsible for manufacturing more than half of the world's power inverters in 2023. Since 2019, the US has restricted Huawei's access to technology, accusing the company of activities contrary to national security, which Huawei denies. But, while Huawei decided to leave the US inverter market in 2019 - the year its 5G telecoms equipment was banned - it remains a dominant supplier elsewhere. Philipp Schroeder, CEO of German solar company 1Komma5, said that Chinese influence over Europe's energy network was now a serious security concern. 'Ten years ago, if you switched off the Chinese inverters, it would not have caused a dramatic thing to happen to European grids, but now the critical mass is much larger. 'China's dominance is becoming a bigger issue because of the growing renewables capacity on Western grids and the increased likelihood of a prolonged and serious confrontation between China and the West,' he told Reuters.
CNA
16-05-2025
- Politics
- CNA
Rogue communication devices found in Chinese solar power inverters
LONDON: US energy officials are reassessing the risk posed by Chinese-made devices that play a critical role in renewable energy infrastructure after unexplained communication equipment was found inside some of them, two people familiar with the matter said. Power inverters, which are predominantly produced in China, are used throughout the world to connect solar panels and wind turbines to electricity grids. They are also found in batteries, heat pumps and electric vehicle chargers. While inverters are built to allow remote access for updates and maintenance, the utility companies that use them typically install firewalls to prevent direct communication back to China. However, rogue communication devices not listed in product documents have been found in some Chinese solar power inverters by US experts who strip down equipment hooked up to grids to check for security issues, the two people said. Over the past nine months, undocumented communication devices, including cellular radios, have also been found in some batteries from multiple Chinese suppliers, one of them said. Reuters was unable to determine how many solar power inverters and batteries they have looked at. The rogue components provide additional, undocumented communication channels that could allow firewalls to be circumvented remotely, with potentially catastrophic consequences, the two people said. Both declined to be named because they did not have permission to speak to the media. "We know that China believes there is value in placing at least some elements of our core infrastructure at risk of destruction or disruption," said Mike Rogers, a former director of the US National Security Agency. "I think that the Chinese are, in part, hoping that the widespread use of inverters limits the options that the West has to deal with the security issue." A spokesperson for the Chinese embassy in Washington said: "We oppose the generalisation of the concept of national security, distorting and smearing China's infrastructure achievements." Using the rogue communication devices to skirt firewalls and switch off inverters remotely, or change their settings, could destabilise power grids, damage energy infrastructure, and trigger widespread blackouts, experts said. "That effectively means there is a built-in way to physically destroy the grid," one of the people said, The two people declined to name the Chinese manufacturers of the inverters and batteries with extra communication devices, nor say how many they had found in total. The existence of the rogue devices has not previously been reported. The US government has not publicly acknowledged the discoveries. Asked for comment, the US Department of Energy (DOE) said it continually assesses risk associated with emerging technologies and that there were significant challenges with manufacturers disclosing and documenting functionalities. "While this functionality may not have malicious intent, it is critical for those procuring to have a full understanding of the capabilities of the products received," a spokesperson said. Work is ongoing to address any gaps in disclosures through "Software Bill of Materials" - or inventories of all the components that make up a software application - and other contractual requirements, the spokesperson said. TRUSTED EQUIPMENT As US-China tensions escalate, the US and others are reassessing China's role in strategic infrastructure because of concerns about potential security vulnerabilities, two former government officials said. "The threat we face from the Chinese Communist Party (CCP) is real and growing. Whether it's telecom hacks or remotely accessing solar and battery inverters, the CCP stops at nothing to target our sensitive infrastructure and components," said US Representative August Pfluger, a Republican member of the Committee on Homeland Security. "It is about time we ramp up our efforts to show China that compromising us will no longer be acceptable," he told Reuters. In February, two US Senators introduced the Decoupling from Foreign Adversarial Battery Dependence Act, banning the Department of Homeland Security from purchasing batteries from some Chinese entities, starting October 2027, due to national security concerns. The bill was referred to the Senate Committee on Homeland Security and Governmental Affairs on Mar 11 and has yet to be enacted. It aims to prevent Homeland Security from procuring batteries from six Chinese companies Washington says are closely linked to the Chinese Communist Party: Contemporary Amperex Technology Company (CATL), BYD Company, Envision Energy, EVE Energy Company, Hithium Energy Storage Technology Company, and Gotion High-tech Company. None of the companies responded to requests for comment. Utilities are now preparing for similar bans on Chinese inverter manufacturers, three people with knowledge of the matter said. Some utilities, including Florida's largest power supplier, Florida Power & Light Company, are attempting to minimise the use of Chinese inverters by sourcing equipment from elsewhere, according to two people familiar with the matter. FPL did not respond to requests for comment. The DOE spokesperson said: "As more domestic manufacturing takes hold, DOE is working across the federal government to strengthen US supply chains, providing additional opportunities to integrate trusted equipment into the power grid." "CATASTROPHIC IMPLICATIONS" Huawei is the world's largest supplier of inverters, accounting for 29 per cent of shipments globally in 2022, followed by Chinese peers Sungrow and Ginlong Solis, according to consultancy Wood Mackenzie. German solar developer 1Komma5 said, however, that it avoids Huawei inverters because of the brand's associations with security risks. "Ten years ago, if you switched off the Chinese inverters, it would not have caused a dramatic thing to happen to European grids, but now the critical mass is much larger," 1Komma5 Chief Executive Philipp Schroeder said. "China's dominance is becoming a bigger issue because of the growing renewables capacity on Western grids and the increased likelihood of a prolonged and serious confrontation between China and the West," he said. Since 2019, the US has restricted Huawei's access to US technology, accusing the company of activities contrary to national security, which Huawei denies. Chinese companies are required by law to cooperate with China's intelligence agencies, giving the government potential control over Chinese-made inverters connected to foreign grids, experts said. While Huawei decided to leave the US inverter market in 2019 - the year its 5G telecoms equipment was banned - it remains a dominant supplier elsewhere. Huawei declined to comment. In Europe, exercising control over just 3 to 4 gigawatts of energy could cause widespread disruption to electricity supplies, experts said. The European Solar Manufacturing Council estimates that over 200 GW of European solar power capacity is linked to inverters made in China - equivalent to more than 200 nuclear power plants. At the end of last year, there were 338 GW of installed solar power in Europe, according to industry association SolarPower Europe. "If you remotely control a large enough number of home solar inverters, and do something nefarious at once, that could have catastrophic implications to the grid for a prolonged period of time," said Uri Sadot, cybersecurity program director at Israeli inverter manufacturer SolarEdge. STRATEGIC DEPENDENCIES Other countries such as Lithuania and Estonia, acknowledge the threats to energy security. In November, the Lithuanian government passed a law blocking remote Chinese access to solar, wind and battery installations above 100 kilowatts - by default restricting the use of Chinese inverters. Energy minister Zygimantas Vaiciunas said this could be extended to smaller rooftop solar installations. Estonia's Director General of the Foreign Intelligence Service, Kaupo Rosin, said the country could be at risk of blackmail from China if it did not ban Chinese technology in crucial parts of the economy, such as solar inverters. Estonia's Ministries of Defence and Climate declined to comment when asked if they had taken any action. In Britain, the government's review of Chinese renewable energy technology in the energy system - due to be concluded in the coming months - includes looking at inverters, a person familiar with the matter said. In November, solar power inverters in the US and elsewhere were disabled from China, highlighting the risk of foreign influence over local electricity supplies and causing concern among government officials, three people familiar with the matter said. Reuters was unable to determine how many inverters were switched off or the extent of disruption to grids. The DOE declined to comment on the incident. The incident led to a commercial dispute between inverter suppliers Sol-Ark and Deye, the people said. "Sol-Ark does not comment on vendor relationships, including any relationship with Deye, nor does it have any control over inverters that are not branded Sol-Ark, as was the case in the November 2024 situation you referenced," a Sol-Ark spokesperson said. Deye did not respond to requests for comment. The energy sector is trailing other industries such as telecoms and semiconductors, where regulations have been introduced in Europe and the US to mitigate China's dominance. Security analysts say this is partly because decisions about whether to secure energy infrastructure are mostly dictated by the size of any installation. Household solar or battery storage systems fall below thresholds where security requirements typically kick-in, they said, despite now contributing a significant share of power on many Western grids. NATO, the 32-country Western security alliance, said China's efforts to control member states' critical infrastructure - including inverters - were intensifying.
Fox News
15-05-2025
- Politics
- Fox News
Hidden communications devices found in Chinese solar power inverters spark security alarm
Print Close Published May 15, 2025 U.S. energy officials are reassessing the risk posed by Chinese-made devices that play a critical role in renewable energy infrastructure after unexplained communication equipment was found inside some of them, two people familiar with the matter said. Power inverters, which are predominantly produced in China, are used throughout the world to connect solar panels and wind turbines to electricity grids. They are also found in batteries, heat pumps and electric vehicle chargers. While inverters are built to allow remote access for updates and maintenance, the utility companies that use them typically install firewalls to prevent direct communication back to China. CHINESE OFFICIALS CLAIMED BEHIND CLOSED DOORS PRC PLAYED ROLE IN US CYBERATTACKS: REPORT However, rogue communication devices not listed in product documents have been found in some Chinese solar power inverters by U.S. experts who strip down equipment hooked up to grids to check for security issues, the two people said. Over the past nine months, undocumented communication devices, including cellular radios, have also been found in some batteries from multiple Chinese suppliers, one of them said. Reuters was unable to determine how many solar power inverters and batteries they have looked at. The rogue components provide additional, undocumented communication channels that could allow firewalls to be circumvented remotely, with potentially catastrophic consequences, the two people said. Both declined to be named because they did not have permission to speak to the media. "We know that China believes there is value in placing at least some elements of our core infrastructure at risk of destruction or disruption," said Mike Rogers, a former director of the U.S. National Security Agency. "I think that the Chinese are, in part, hoping that the widespread use of inverters limits the options that the West has to deal with the security issue." A spokesperson for the Chinese embassy in Washington said: "We oppose the generalization of the concept of national security, distorting and smearing China's infrastructure achievements." Using the rogue communication devices to skirt firewalls and switch off inverters remotely, or change their settings, could destabilize power grids, damage energy infrastructure, and trigger widespread blackouts, experts said. "That effectively means there is a built-in way to physically destroy the grid," one of the people said, The two people declined to name the Chinese manufacturers of the inverters and batteries with extra communication devices, nor say how many they had found in total. The existence of the rogue devices has not previously been reported. The U.S. government has not publicly acknowledged the discoveries. Asked for comment, the U.S. Department of Energy (DOE) said it continually assesses risk associated with emerging technologies and that there were significant challenges with manufacturers disclosing and documenting functionalities. "While this functionality may not have malicious intent, it is critical for those procuring to have a full understanding of the capabilities of the products received," a spokesperson said. Work is ongoing to address any gaps in disclosures through "Software Bill of Materials" - or inventories of all the components that make up a software application - and other contractual requirements, the spokesperson said. Trusted Equipment As U.S.-China tensions escalate, the U.S. and others are reassessing China's role in strategic infrastructure because of concerns about potential security vulnerabilities, two former government officials said. "The threat we face from the Chinese Communist Party (CCP) is real and growing. Whether it's telecom hacks or remotely accessing solar and battery inverters, the CCP stops at nothing to target our sensitive infrastructure and components," said U.S. Representative August Pfluger, a Republican member of the Committee on Homeland Security. "It is about time we ramp up our efforts to show China that compromising us will no longer be acceptable," he told Reuters. In February, two U.S. Senators introduced the Decoupling from Foreign Adversarial Battery Dependence Act, banning the Department of Homeland Security from purchasing batteries from some Chinese entities, starting October 2027, due to national security concerns. The bill was referred to the Senate Committee on Homeland Security and Governmental Affairs on March 11 and has yet to be enacted. THE REAL BREAKTHROUGH IN U.S.–CHINA TRADE TALKS IS MUCH BIGGER THAN JUST TARIFFS It aims to prevent Homeland Security from procuring batteries from six Chinese companies Washington says are closely linked to the Chinese Communist Party: Contemporary Amperex Technology Company (CATL), BYD Company, Envision Energy, EVE Energy Company, Hithium Energy Storage Technology Company, and Gotion High-tech Company. None of the companies responded to requests for comment. Utilities are now preparing for similar bans on Chinese inverter manufacturers, three people with knowledge of the matter said. Some utilities, including Florida's largest power supplier, Florida Power & Light Company, are attempting to minimize the use of Chinese inverters by sourcing equipment from elsewhere, according to two people familiar with the matter. FPL did not respond to requests for comment. The DOE spokesperson said: "As more domestic manufacturing takes hold, DOE is working across the federal government to strengthen U.S. supply chains, providing additional opportunities to integrate trusted equipment into the power grid." 'Catastrophic Implications' Huawei is the world's largest supplier of inverters, accounting for 29% of shipments globally in 2022, followed by Chinese peers Sungrow and Ginlong Solis, according to consultancy Wood Mackenzie. German solar developer 1Komma5 said, however, that it avoids Huawei inverters, because of the brand's associations with security risks. "Ten years ago, if you switched off the Chinese inverters, it would not have caused a dramatic thing to happen to European grids, but now the critical mass is much larger," 1Komma5 Chief Executive Philipp Schroeder said. "China's dominance is becoming a bigger issue because of the growing renewables capacity on Western grids and the increased likelihood of a prolonged and serious confrontation between China and the West," he said. Since 2019, the U.S. has restricted Huawei's access to U.S. technology, accusing the company of activities contrary to national security, which Huawei denies. CHINESE IMPORTS TO US PLUMMET TO LOWEST LEVELS SINCE PANDEMIC AMID TRUMP TARIFFS Chinese companies are required by law to cooperate with China's intelligence agencies, giving the government potential control over Chinese-made inverters connected to foreign grids, experts said. While Huawei decided to leave the U.S. inverter market in 2019 - the year its 5G telecoms equipment was banned - it remains a dominant supplier elsewhere. Huawei declined to comment. In Europe, exercising control over just 3 to 4 gigawatts of energy could cause widespread disruption to electricity supplies, experts said. The European Solar Manufacturing Council estimates over 200 GW of European solar power capacity is linked to inverters made in China - equivalent to more than 200 nuclear power plants. At the end of last year, there was 338 GW of installed solar power in Europe, according to industry association SolarPower Europe. "If you remotely control a large enough number of home solar inverters, and do something nefarious at once, that could have catastrophic implications to the grid for a prolonged period of time," said Uri Sadot, cybersecurity program director at Israeli inverter manufacturer SolarEdge. Strategic Dependencies Other countries such as Lithuania and Estonia acknowledge the threats to energy security. In November, the Lithuanian government passed a law blocking remote Chinese access to solar, wind and battery installations above 100 kilowatts - by default restricting the use of Chinese inverters. Energy minister Zygimantas Vaiciunas said this could be extended to smaller rooftop solar installations. Estonia's Director General of the Foreign Intelligence Service, Kaupo Rosin, said the country could be at risk of blackmail from China if it did not ban Chinese technology in crucial parts of the economy, such as solar inverters. Estonia's Ministries of Defense and Climate declined to comment when asked if they had taken any action. In Britain, the government's review of Chinese renewable energy technology in the energy system - due to be concluded in the coming months - includes looking at inverters, a person familiar with the matter said. In November, solar power inverters in the U.S. and elsewhere were disabled from China, highlighting the risk of foreign influence over local electricity supplies and causing concern among government officials, three people familiar with the matter said. Reuters was unable to determine how many inverters were switched off, or the extent of disruption to grids. The DOE declined to comment on the incident. The incident led to a commercial dispute between inverter suppliers Sol-Ark and Deye, the people said. "Sol-Ark does not comment on vendor relationships, including any relationship with Deye, nor does it have any control over inverters that are not branded Sol-Ark, as was the case in the November 2024 situation you referenced," a Sol-Ark spokesperson said. Deye did not respond to requests for comment. The energy sector is trailing other industries such as telecoms and semiconductors, where regulations have been introduced in Europe and the U.S. to mitigate China's dominance. Security analysts say this is partly because decisions about whether to secure energy infrastructure are mostly dictated by the size of any installation. CLICK HERE TO GET THE FOX NEWS APP Household solar or battery storage systems fall below thresholds where security requirements typically kick-in, they said, despite now contributing a significant share of power on many Western grids. NATO, the 32-country Western security alliance, said China's efforts to control member states' critical infrastructure - including inverters - were intensifying. "We must identify strategic dependencies and take steps to reduce them," said a NATO official. Print Close URL
Japan Times
15-05-2025
- Japan Times
Rogue communication equipment found in Chinese-made solar power inverters
U.S. energy officials are reassessing the risk posed by Chinese-made devices that play a critical role in renewable energy infrastructure after unexplained communication equipment was found inside some of them, two people familiar with the matter have said. Power inverters, which are predominantly produced in China, are used throughout the world to connect solar panels and wind turbines to electricity grids. They are also found in batteries, heat pumps and electric vehicle chargers. While inverters are built to allow remote access for updates and maintenance, the utility companies that use them typically install firewalls to prevent any direct communication back to China. However, rogue communication devices not listed in product documents have been found in some Chinese solar power inverters by U.S experts who strip down equipment hooked up to grids to check for security issues, the two people said. Over the past nine months, undocumented communication devices, including cellular radios, have also been found in some batteries from multiple Chinese suppliers, one of them said. It was not possible to determine how many solar power inverters and batteries they have looked at. The rogue components provide additional, undocumented communication channels that could allow firewalls to be circumvented remotely, with potentially catastrophic consequences, the two people said. Both declined to be named because they did not have permission to speak to the media. "We know that China believes there is value in placing at least some elements of our core infrastructure at risk of destruction or disruption," said Mike Rogers, a former director of the U.S. National Security Agency. "I think that the Chinese are, in part, hoping that the widespread use of inverters limits the options that the West has to deal with the security issue." A spokesperson for the Chinese Embassy in Washington said: "We oppose the generalization of the concept of national security, distorting and smearing China's infrastructure achievements." Using the rogue communication devices to skirt firewalls and switch off inverters remotely, or change their settings, could destabilize power grids, damage energy infrastructure, and trigger widespread blackouts, experts said. "That effectively means there is a built-in way to physically destroy the grid," one of the people said. The two people declined to name the Chinese manufacturers of the inverters and batteries with extra communication devices, nor say how many they had found in total. Solar panels during an organized media tour at the Dunhuang Photovoltaic Industrial Park, in Gansu province, China, in October 2024 | REUTERS The existence of the rogue devices has not previously been reported. The U.S. government has not publicly acknowledged the discoveries. Asked for comment, the U.S. Department of Energy (DOE) said it continually assesses risk associated with emerging technologies and that there were significant challenges with manufacturers disclosing and documenting functionalities. "While this functionality may not have malicious intent, it is critical for those procuring to have a full understanding of the capabilities of the products received," a spokesperson said. Work is ongoing to address any gaps in disclosures through documents known as a "Software Bill of Materials" — or inventories of all the components that make up a software application — and other contractual requirements, the spokesperson said. Trusted equipment As U.S.-China tensions escalate, the U.S. and others are reassessing China's role in strategic infrastructure because of concerns about potential security vulnerabilities, two former government officials said. "The threat we face from the Chinese Communist Party (CCP) is real and growing. Whether it's telecom hacks or remotely accessing solar and battery inverters, the CCP stops at nothing to target our sensitive infrastructure and components," said U.S. Representative August Pfluger, a Republican member of the Committee on Homeland Security. "It is about time we ramp up our efforts to show China that compromising us will no longer be acceptable," he said. In February, two U.S. senators introduced the Decoupling from Foreign Adversarial Battery Dependence Act, banning the Department of Homeland Security from purchasing batteries from some Chinese entities, starting October 2027, due to national security concerns. The bill was referred to the Senate Committee on Homeland Security and Governmental Affairs on March 11 and has yet to be enacted. It aims to prevent Homeland Security from procuring batteries from six Chinese companies Washington says are closely linked to the Chinese Communist Party: Contemporary Amperex Technology Company (CATL), BYD Company, Envision Energy, EVE Energy Company, Hithium Energy Storage Technology Company, and Gotion High-tech Company. None of the companies responded to requests for comment. Utilities are now preparing for similar bans on Chinese inverter manufacturers, three people with knowledge of the matter said. Some utilities, including Florida Power & Light Company (FPL), Florida's largest power supplier, are attempting to minimize the use of Chinese inverters by sourcing equipment from elsewhere, according to two people familiar with the matter. FPL did not respond to requests for comment. The DOE spokesperson said: "As more domestic manufacturing takes hold, DOE is working across the federal government to strengthen U.S. supply chains, providing additional opportunities to integrate trusted equipment into the power grid." 'Catastrophic implications' Huawei is the world's largest supplier of inverters, accounting for 29% of shipments globally in 2022, followed by Chinese peers Sungrow and Ginlong Solis, according to consultancy Wood Mackenzie. German solar developer 1Komma5 said, however, that it avoids Huawei inverters, because of the brand's associations with security risks. "Ten years ago, if you switched off the Chinese inverters, it would not have caused a dramatic thing to happen to European grids, but now the critical mass is much larger," 1Komma5 Chief Executive Philipp Schroeder said. "China's dominance is becoming a bigger issue because of the growing renewables capacity on Western grids and the increased likelihood of a prolonged and serious confrontation between China and the West," he said. Since 2019, the U.S. has restricted Huawei's access to U.S. technology, accusing the company of activities contrary to national security, which Huawei denies. Chinese companies are required by law to cooperate with China's intelligence agencies, giving the government potential control over Chinese-made inverters connected to foreign grids, experts said. While Huawei decided to leave the U.S. inverter market in 2019 — the year its 5G telecoms equipment was banned — it remains a dominant supplier elsewhere. Huawei declined to comment. Solar powered surveillance cameras on display at the Canton Fair in Guangzhou, China, on April 16 | Bloomberg In Europe, exercising control over just 3 to 4 gigawatts of energy could cause widespread disruption to electricity supplies, experts said. The European Solar Manufacturing Council estimates over 200 gigawatts of European solar power capacity is linked to inverters made in China — equivalent to more than 200 nuclear power plants. At the end of last year, there was 338 GW of installed solar power in Europe, according to industry association SolarPower Europe. "If you remotely control a large enough number of home solar inverters, and do something nefarious at once, that could have catastrophic implications to the grid for a prolonged period of time," said Uri Sadot, cyber security program director at Israeli inverter manufacturer SolarEdge. Strategic dependencies Other countries such as Lithuania and Estonia acknowledge the threats to energy security. In November, the Lithuanian government passed a law blocking remote Chinese access to solar, wind and battery installations above 100 kilowatts — by default restricting the use of Chinese inverters. Energy minister Zygimantas Vaiciunas said this could be extended to smaller rooftop solar installations. Estonia's Director General of the Foreign Intelligence Service, Kaupo Rosin, said the country could be at risk of blackmail from China if it did not ban Chinese technology in crucial parts of the economy, such as solar inverters. Estonia's ministries of defense and climate declined to comment when asked if they had taken any action. In the U.K., the government's review of Chinese renewable energy technology in the energy system — due to be concluded in the coming months — includes looking at inverters, a person familiar with the matter said. In November, solar power inverters in the U.S. and elsewhere were disabled from China, highlighting the risk of foreign influence over local electricity supplies and causing concern among government officials, three people familiar with the matter said. It was not possible to determine how many inverters were switched off, or the extent of disruption to grids. The DOE declined to comment on the incident. The incident led to a commercial dispute between inverter suppliers Sol-Ark and Deye, the people said. "Sol-Ark does not comment on vendor relationships, including any relationship with Deye, nor does it have any control over inverters that are not branded Sol-Ark, as was the case in the November 2024 situation you referenced," a Sol-Ark spokesperson said. Deye did not respond to requests for comment. The energy sector is trailing other industries such as telecoms and semiconductors, where regulations have been introduced in Europe and the U.S. to mitigate China's dominance. Security analysts say this is partly because decisions about whether to secure energy infrastructure are mostly dictated by the size of any installation. Household solar or battery storage systems fall below thresholds where security requirements typically kick in, they said, despite now contributing a significant share of power on many Western grids. NATO, the 32-country Western security alliance, said China's efforts to control member states' critical infrastructure — including inverters — were intensifying. "We must identify strategic dependencies and take steps to reduce them," a NATO official said.
