Huawei lays off some staff, shuts down solar inverter business in the U.S

Huawei’s solar equipment makes up about 4 percent of the U.S market and more than 20 percent of sales worldwide.

What Happened?

The Financial Times reports that “Huawei has closed down its fast-growing but controversial solar energy business in the U.S as it continues to battle criticism from both the Trump administration and politicians in Congress.”

A company spokesperson told the Financial Times: “Over the past several months, we have been compelled to make moves to more closely align our business strategy with the unwelcoming climate being fostered in the United States. After careful review of our operations in the United States, we have made the tough decision to eliminate several positions within our U.S representative office.”

Other reports confirm the company had moved to lay off or transfer some of its U.S workforce, while maintaining some technical support and warranty staff.

Why It Matters

Preliminary figures from Wood Mackenzie Power & Renewables put Huawei’s global market share at 22 percent in 2018, the highest of any company.

Huawei had intended to expand its single-phase, residential inverter business to the U.S market, but those plans got tangled up in the diplomatic standoff.

Enphase and SolarEdge, two rival suppliers of inverters for the U.S. residential market, are most likely to see a positive impact from a Huawei pullback, reports GreenTech Media.