{"id":82752,"date":"2025-06-03T16:56:04","date_gmt":"2025-06-03T20:56:04","guid":{"rendered":"https:\/\/autosector.com\/?p=82752"},"modified":"2025-06-03T16:56:04","modified_gmt":"2025-06-03T20:56:04","slug":"us-energy-storage-costs-50-percent-tariffs","status":"publish","type":"post","link":"http:\/\/autosector.com\/?p=82752","title":{"rendered":"US energy storage costs could spike 50% \u2013 tariffs are to blame"},"content":{"rendered":"<figure class=\"img-border featured-image\">\n\t<img fetchpriority=\"high\" width=\"1440\" height=\"720\" src=\"https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2024\/08\/ElevenMile-BESS-orsted.jpg?quality=82&amp;strip=all&amp;w=1440\" class=\"skip-lazy wp-post-image\" alt=\"US battery storage tariffs\" srcset=\"https:\/\/i0.wp.com\/electrek.co\/wp-content\/uploads\/sites\/3\/2024\/08\/ElevenMile-BESS-orsted.jpg?w=320&amp;quality=82&amp;strip=all&amp;ssl=1 320w, https:\/\/i0.wp.com\/electrek.co\/wp-content\/uploads\/sites\/3\/2024\/08\/ElevenMile-BESS-orsted.jpg?w=640&amp;quality=82&amp;strip=all&amp;ssl=1 640w, https:\/\/i0.wp.com\/electrek.co\/wp-content\/uploads\/sites\/3\/2024\/08\/ElevenMile-BESS-orsted.jpg?w=1024&amp;quality=82&amp;strip=all&amp;ssl=1 1024w, https:\/\/i0.wp.com\/electrek.co\/wp-content\/uploads\/sites\/3\/2024\/08\/ElevenMile-BESS-orsted.jpg?w=1500&amp;quality=82&amp;strip=all&amp;ssl=1 1500w\" decoding=\"async\" fetchpriority=\"high\"\/><figcaption>\n\t\t\t\tPhoto: \u00d8rsted\t\t\t<\/figcaption><\/figure>\n<p>Trump\u2019s tariffs are about to drive up the cost of clean energy projects in the US, and energy storage is set to take the biggest hit, according to new analysis from Wood Mackenzie.<\/p>\n<p><span id=\"more-418951\"\/><\/p>\n<p>In its latest report, \u201cAll aboard the tariff coaster: implications for the US power industry,\u201d Wood Mackenzie lays out what the power sector could be in for as new tariffs raise costs across the board. The biggest tariff hit will be on utility-scale energy storage, where US projects still overwhelmingly rely on imported battery cells from China.<\/p>\n<p>\u201cIn a business with 5-to-10-year planning cycles, not knowing what a project will cost next year or the year after is disruptive and causes massive uncertainty,\u201d said Chris Seiple, vice chairman of power and renewables at Wood Mackenzie. \u201cWe will definitely see impacts on power sector capital projects. The severity depends on what scenarios play out.\u201d<\/p>\n<p>The firm modeled two scenarios: one where tariffs settle at an effective rate of 10% by 2026, and a more extreme \u201ctrade war\u201d scenario where that rate climbs to 30% and stays there through 2030. Either way, energy storage takes a big hit.<\/p>\n<p>\t<span class=\"outbrain-ad-label\">Advertisement &#8211; scroll for more content<\/span><\/p>\n<p>Wood Mackenzie estimates energy storage project costs could rise from 12% to over 50%, depending on the scenario. That\u2019s because, in 2024, nearly all utility-scale battery cells used in the US came from China. And the domestic supply is nowhere near ready to take over.<\/p>\n<p>\u201cWhile US battery cell manufacturing capacity is expanding, it is not expanding at a pace nearly fast enough to meet even a small fraction of battery projects in the US,\u201d Seiple said. \u201cIn 2025, we estimate there is sufficient domestic manufacturing capacity to only meet about 6% of demand, and by 2030, domestic manufacturing could potentially meet 40% of demand.\u201d<\/p>\n<p>The solar sector is getting a rough deal, too. With existing tariffs and tough interconnection rules already making solar builds more expensive in the US, new tariffs would pile on. Wood Mackenzie says utility-scale solar could end up 54% more expensive than in Europe, and a staggering 85% pricier than new solar plants in China.<\/p>\n<p>\u201cAn increase in tariff levels will only worsen this premium US energy consumers need to pay to access renewable energy,\u201d Seiple said.<\/p>\n<p>Wood Mac\u2019s bottom line: Current trade policies are making clean energy more expensive to build in the US than almost anywhere else, and the industry will have to brace for more uncertainty and higher costs ahead.<\/p>\n<figure class=\"wp-block-image alignwide size-full\"><a href=\"https:\/\/www.energysage.com\/landing\/home-solar\/p\/electrek-rsm-ml\/?utm_medium=Partner&amp;utm_source=Electrek\" target=\"_blank\" rel=\"noreferrer noopener\"><img decoding=\"async\" width=\"750\" height=\"150\" src=\"https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/06\/DES-1038_Electrek-Banners_Resiliency.png\" alt=\"\" class=\"wp-image-418954\" srcset=\"https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/06\/DES-1038_Electrek-Banners_Resiliency.png 750w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/06\/DES-1038_Electrek-Banners_Resiliency.png?resize=150,30 150w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/06\/DES-1038_Electrek-Banners_Resiliency.png?resize=300,60 300w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/06\/DES-1038_Electrek-Banners_Resiliency.png?resize=350,70 350w, https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2025\/06\/DES-1038_Electrek-Banners_Resiliency.png?resize=140,28 140w\" sizes=\"(max-width: 750px) 100vw, 750px\"\/><\/a><\/figure>\n<p><strong>Read more:<\/strong> <a href=\"https:\/\/electrek.co\/2025\/05\/06\/audi-may-build-evs-in-the-us-to-dodge-trumps-new-tariffs\/\">Audi may build EVs in the US to dodge Trump\u2019s new tariffs<\/a><\/p>\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n<p><em>If you live in an area that has frequent natural disaster events, and are interested in making your home more resilient to power outages, consider going solar and adding a battery storage system. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out <\/em><a href=\"https:\/\/www.energysage.com\/p\/electrek-rsm-ml\/\"><em>EnergySage<\/em><\/a><em>, a free service that makes it easy for you to go solar. They have hundreds of pre-vetted solar installers competing for your business, ensuring you get high quality solutions and save 20-30% compared to going it alone. Plus, it\u2019s free to use and you won\u2019t get sales calls until you select an installer and share your phone number with them.<\/em><\/p>\n<p><em>Your personalized solar quotes are easy to compare online and you\u2019ll get access to unbiased Energy Advisers to help you every step of the way. Get started <\/em><a href=\"https:\/\/www.energysage.com\/p\/electrek-rsm-ml\/\"><em>here<\/em><\/a><em>. \u2013trusted affiliate link*<\/em><\/p>\n<div class=\"ad-disclaimer-container\" readability=\"6.3518518518519\">\n<p class=\"disclaimer-affiliate\"><em>FTC: We use income earning auto affiliate links.<\/em> <a href=\"https:\/\/electrek.co\/about\/#affiliate\">More.<\/a><\/p>\n<p><!-- post ad --><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Photo: \u00d8rsted Trump\u2019s tariffs are about to drive up the cost of clean energy projects in the US, and energy storage is set to take the biggest hit, according to new analysis from Wood Mackenzie. In its latest report, \u201cAll aboard the tariff coaster: implications for the US power industry,\u201d Wood Mackenzie lays out what [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":8313,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[4],"tags":[],"class_list":["post-82752","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-e-cars"],"_links":{"self":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts\/82752","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=82752"}],"version-history":[{"count":0,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts\/82752\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/media\/8313"}],"wp:attachment":[{"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=82752"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=82752"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=82752"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}