FEOC Solar Rules 2026: Which Panels and Batteries Still Qualify?

What Is FEOC and Why Does It Matter?

The Foreign Entity of Concern (FEOC) designation is part of the US government's effort to reduce dependence on adversarial nations for critical clean energy supply chains. Under the Inflation Reduction Act and subsequent Treasury Department guidance, companies seeking to claim the Section 48 commercial Investment Tax Credit must certify that their solar panels and battery components do not contain materials sourced from, or manufactured by, entities controlled by designated foreign governments.

The designated countries are China, Russia, North Korea, and Iran. Given that China currently manufactures approximately 80% of the world's solar panels and dominates the battery supply chain, these rules have sweeping implications for the US solar market.

Affected Brands and Components

The following major solar panel brands manufacture primarily in China and are affected by FEOC restrictions for commercial ITC purposes. These brands represent some of the best-value options on the market and remain excellent choices for cash purchases -- they are only restricted when used in systems claiming the commercial tax credit.

These panels are still excellent products. FEOC status only matters for commercial ITC claims (TPO installations).

FEOC-Compliant Solar Panels

The following panel brands in our database manufacture outside of FEOC-designated countries and are generally considered compliant for Section 48 ITC purposes. These are the panels TPO companies will typically offer in their lease and PPA packages.

All FEOC-Compliant Panels in Our Database

Showing top 20 compliant panels sorted by efficiency. Browse all 107 solar panels.

FEOC-Compliant Batteries and Inverters

Battery FEOC restrictions have been in effect since 2025 and are particularly stringent because they cover not just the manufacturing location but also the sourcing of critical minerals like lithium, cobalt, nickel, and graphite. Here are the major battery brands that are generally considered FEOC-compliant for commercial ITC purposes.

FEOC-Compliant Inverters

For inverters, the key FEOC-compliant brands include:

• ✓ Enphase -- Microinverters assembled in the US. Industry-standard for residential panel-level optimization.
• ✓ SolarEdge -- String inverters and optimizers with manufacturing in multiple non-FEOC countries.
• ✓ Generac -- US-based manufacturer of hybrid inverters and PWRcell systems.
• ✓ Sol-Ark -- US-based hybrid inverter manufacturer with strong off-grid capabilities.
• ✓ SMA -- German manufacturer with global production. String and hybrid inverters.
• ✓ Fronius -- Austrian manufacturer with hybrid and string inverters.

Browse our complete inverter database (69 models) for full specifications.

Impact on Installers and TPO Companies

FEOC rules have forced major changes in the solar installation industry. The most significant impact is on Approved Vendor Lists (AVLs) -- the curated lists of equipment that large installation companies, financing partners, and TPO providers approve for use in their systems.

Before FEOC, Chinese-manufactured panels from LONGi, Trina, JinkoSolar, and JA Solar dominated installer AVLs because they offered the best combination of efficiency, reliability, and price. With FEOC restrictions, TPO companies have had to rebuild their supply chains around compliant manufacturers, leading to:

• Higher equipment costs: FEOC-compliant panels typically cost 10-25% more per watt than Chinese alternatives, which can increase system prices for lease and PPA customers.
• Supply constraints: Non-Chinese manufacturing capacity is still ramping up. Qcells, Silfab, and other compliant manufacturers are expanding rapidly but cannot yet fully replace Chinese supply volumes.
• Longer lead times: Some compliant panel models have 4-8 week lead times compared to 1-2 weeks for Chinese panels.
• AVL consolidation: Many installers have narrowed their AVLs to just 2-3 compliant panel brands, reducing customer choice in TPO arrangements.

For cash-purchase customers, these supply chain challenges are less relevant. Independent installers who serve cash buyers continue to offer Chinese panels at competitive prices, as FEOC compliance is not required for systems not claiming the commercial ITC.

Maxeon and CBP Detention Issues

Maxeon, despite being FEOC-compliant based on its manufacturing locations (Malaysia and Mexico), has faced a separate supply chain challenge. Since July 2024, US Customs and Border Protection (CBP) has detained shipments of Maxeon panels at US ports under the Uyghur Forced Labor Prevention Act (UFLPA) and associated Withhold Release Orders (WROs).

The detentions relate to supply chain traceability concerns -- specifically, whether Maxeon can adequately document that its polysilicon supply chain does not include materials from the Xinjiang region of China, where forced labor has been documented. Maxeon has stated that it has implemented robust supply chain tracing and that its products comply with UFLPA requirements, but the detentions have created significant inventory shortages and delivery delays for US installers.

What Consumers Should Do

Your approach to FEOC rules depends entirely on how you plan to finance your solar installation. Here is a decision framework:

Frequently Asked Questions

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