Recently, Qcells, the US solar manufacturing subsidiary of Hanwha Solutions, announced temporary layoffs of approximately 1,000 full-time employees and reduced working hours at two Georgia plants, alongside the dismissal of 300 temporary contract workers, due to supply chain disruptions triggering production adjustments.
The workforce adjustments affect Qcells’ facilities in Dalton and Cartersville, Georgia. A company spokesperson stated that most affected employees would retain full benefits and are expected to be recalled “within the coming weeks or months” once full production capacity resumes. The immediate cause stems from previous detentions of Qcells’ intermediate products, including solar cells and polysilicon sourced from allies such as Malaysia and South Korea, by US Customs and Border Protection (CBP) under enhanced enforcement of the UFLPA.
Although most detained shipments have now been cleared, the prolonged delays disrupted production schedules, forcing the company to optimize operations through reduced output and workforce adjustments. Notably, Qcells is advancing its $2.5 billion expansion plan in Georgia, aiming to build a fully integrated domestic supply chain encompassing ingots, wafers, cells, and modules—a key photovoltaic investment catalyzed by the US Inflation Reduction Act (IRA).
Industry analysis highlights that this temporary production cut reveals transitional vulnerabilities in US solar manufacturing. While the IRA has accelerated domestic capacity expansion, the industry still relies on certain imported components before a fully mature domestic supply chain is established. Strict UFLPA enforcement has created customs inspection bottlenecks, exacerbating operational risks during production ramp-up phases.
