First Solar, a leading American solar panel manufacturer, has taken legal action against Toledo Solar, accusing the Ohio-based company of falsely marketing its products as “Made in the U.S.A.” In a complaint filed in an Ohio district court, First Solar claims that Toledo Solar misrepresented its solar panels, which were actually manufactured in Asia, as domestically produced.

The lawsuit seeks an injunction to halt Toledo Solar from further misrepresentation and demands that the company refund any profits generated from the sale of the falsely labeled panels. The case raises concerns over the integrity of product labeling and highlights the importance of accurate information in the renewable energy sector.

The dispute between the two solar panel manufacturers came to light during the installation of solar panels at the Ohio governor’s residence in 2022. First Solar discovered that Toledo Solar’s panels contained the serial numbers typically used by First Solar to identify its own products. These serial numbers revealed that the panels were manufactured in First Solar’s facilities in Malaysia, directly contradicting Toledo Solar’s claims of domestic production.

The allegations have significant implications not only for Toledo Solar but also for the renewable energy industry as a whole. The misrepresentation of products undermines consumer trust and hampers efforts to promote the use of American-made equipment in the power sector, as encouraged by the U.S. Inflation Reduction Act passed last year. The act provides tax incentives for facilities using domestic equipment, aiming to accelerate the decarbonization of the power sector while fostering domestic employment.

As the case proceeds, the court will have the opportunity to assess the evidence presented by both parties and determine whether Toledo Solar indeed misrepresented its panels. The outcome of this lawsuit could have significant ramifications for the solar industry, setting a precedent for manufacturers’ accountability and the transparency of product labeling.

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