Waaree Energies’ Stock Price Down Today After US Senate’s Plan To Phase Out Renewable Energy Tax Credits

Mumbai, June 18, 2025 – Shares of Waaree Energies are down on Wednesday  after US Senate’s draft bill proposes to phase out renewable energy incentives that were given during the regime of President Trump. At 1:40 p.m. IST, Waaree’s stock was trading at ₹ 2,713, down by more than 2.7%.

Policy Shift Hits Global Renewables Sector

The draft bill, introduced by a Republican-majority Senate panel, aims to scale back clean energy subsidies introduced under the 2022 Inflation Reduction Act. It proposes reducing solar and wind project incentives to 60% of their original value by 2026, before eliminating them entirely by 2028. This is an accelerated timeline compared to the current law, which does not mandate a phase-out before 2032.

While the proposed legislation includes a carve-out granting 100% tax credit to hydropower, nuclear, and geothermal projects until 2033, the rollback of broader renewable incentives sent shockwaves through solar stocks globally.

Global Impact: US Solar Stocks Crash

The repercussions of the news were immediate on Wall Street. Major names took a hit as First Solar dropped nearly 18%, Solaredge Technologies tumbled by 33%, and rooftop solar giant Sunrun plunged 40% in a single session. Waaree Energies mirrored this sentiment in the Indian market due to its growing exposure in the US clean energy sector.

Waaree’s US Exposure Under Scrutiny

Waaree Energies recently commenced commercial production at its US solar module plant in Brookshire, Texas, becoming the first Indian renewable company to establish a photovoltaic (PV) module manufacturing facility in the United States. However, the potential rollback of tax benefits is expected to impact its margins negatively in the region.

Outlook

Waaree Energies faces near-term pressure amid proposed US subsidy rollbacks, which could impact its US plant economics. While the stock remains above its yearly lows, uncertainty around US policy may limit upside. Investors are likely to stay cautious until clarity emerges on the legislative front.

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