Updated Foreign Inverter Ban

August 20, 2026 | By Keith Martin in Washington, DC

The Federal Communications Commission made two main updates today to its import ban on foreign-produced power inverters after receiving input from the US Department of War.

The FCC announced on July 28 that it was putting foreign-produced power inverters on a "covered list" of products whose use it will not approve in the future. Inverter models that have already been authorized by the FCC for use in the United States are not affected. More details can be found here.

The agency revised the definition of what counts as a "power inverter."

It said that inverters that are eligible for section 45X tax credits for being manufactured in the United States will not be considered foreign-made.

Wired

The power inverters potentially covered by the ban had been defined as bi-directional power devices that convert direct current electricity to alternating current or vice versa and that contain "components that enable remote communication, control, sensing, data collection, or monitoring through W-Fi, cellular, Bluetooth or similar connections."

Many people asked whether inverters with wired connections are covered.

The agency said yes.

It broadened the definition of power inverters to include inverters that contain or are "designed, equipped, or configured to accept, a component that enables remote communication, control, sensing, data collection, or monitoring through Ethernet, Wi-Fi, cellular, Bluetooth, or other similar connections, whether wired or wireless."

The FCC said inverters that are incapable of connection to the utility grid are not covered. Under the new definition, the inverter must be intended for use in parallel with an electric utility to supply common loads and sometimes deliver power to the utility.

It removed rectifiers that only convert alternating current electricity to direct current from the definition.

US Made

The FCC said earlier that all inverters that do not have more than 65% US content will be considered foreign made.

The calculation is done under the Buy American Act. The cost the US components must exceed 65% of the total cost of all components for inverters delivered during the period 2024 through 2028 and 75% in 2029 and later years to avoid being considered foreign made.

The FCC said today that will not treat inverters whose manufacturers are "eligible" for section 45X tax credits as foreign made. Congress authorized such tax credits in the Inflation Reduction in 2022 as an inducement to manufacturers to make solar, wind and storage equipment, including inverters, in the United States. The tax credits can be claimed on such equipment manufactured and sold through 2032.

The FCC said the nationality of the company making the inverter is irrelevant.

The tax credits cannot be claimed by any company that is a "prohibited foreign entity" or that has ceded "effective control" over a key aspect of the product to a majority Chinese-owned entity. It is unclear whether these FEOC provisions will be a factor in whether the inverters are considered "eligible" for such tax credits.

Other

Below are links to the latest FCC announcement and a updated list of frequently-asked questions and answers posted today by the FCC:

https://docs.fcc.gov/public/attachments/DA-26-870A1.pdf
https://www.fcc.gov/covered-list-faqs-robots-inverters 

Inverters that are already in use or "previously purchased" are not affected by the ban.

Manufacturers of new inverter models that are not yet authorized by the FCC can apply for conditional approval from the Department of Homeland Security or Department of War. Any such approval is temporary.

Small batches of unauthorized inverters may still be imported "solely for product development or testing purposes." The devices may not be marketed or sold.

Inverters that are already authorized or are in use can continue to receive basic software and firmware updates to maintain usability.webding-gold-Apr-16-2025-04-01-20-5906-PM

Learn More

NewsWire Editor

Keith Martin
Partner, United States
Washington, DC
Email
T: +1 202 974 5674

Stay Connected

Subscribe by Email