South Korean solar manufacturer Qcells is cutting pay and working hours for about 1,000 employees at its Georgia plants, citing a shortage of imported materials detained by U.S. customs officials. The company will also lay off 300 temporary workers, it said on Friday.
The U.S. Customs and Border Protection (CBP) agency has been holding shipments of solar panel components over concerns that they may contain materials made with forced labor in China. The detentions are part of stepped-up enforcement of the Uyghur Forced Labor Prevention Act, which restricts goods linked to China’s Xinjiang region.
Qcells — a subsidiary of Hanwha Solutions — says none of its materials come from China and that it maintains robust supply chain audits and third-party documentation proving compliance. “Our latest supply chain is sourced completely outside of China,” said company spokesperson Marta Stoepker, adding that some detained shipments have already been released.
With production still slowed at its Dalton and Cartersville facilities, Qcells said the temporary cuts were necessary “to improve operational efficiency until production capacity returns to normal.” Employees will keep their benefits during the reduced schedule.
Despite the disruption, Qcells reaffirmed its commitment to expanding U.S. manufacturing. The company is completing a $2.3 billion solar plant in Cartersville, designed to produce solar ingots, wafers, and cells from polysilicon refined in Washington state — a move aimed at reducing reliance on imports.
“Our commitment to building the entire solar supply chain in the United States remains,” Stoepker said. “We will soon be back on track with the full force of our Georgia team delivering American-made energy.”