Abalance Corporation's consolidated subsidiary TOYO Co., Ltd. is now navigating two separate US trade matters tied to its Ethiopian solar operations: a nationwide anti-circumvention investigation covering solar products finished in Ethiopia, and a customs detention of cells actually manufactured at its Ethiopian factory. Abalance disclosed both after TOYO flagged them as a contingent event in an interim report filed on the US EDGAR system on August 19, 2026.
The circumvention case. On May 12, 2026, First Solar, Hanwha Q CELLS and other US solar manufacturers petitioned the Commerce Department to open a country-wide anti-circumvention investigation under Section 781(b) of the Tariff Act of 1930. The petitioners argue that crystalline silicon solar products finished in Ethiopia using Chinese inputs, and panels assembled in third countries from Ethiopian-made cells, are being used to dodge existing US anti-dumping and countervailing duty orders on Chinese solar goods. Commerce formally opened the investigation on July 17, 2026. It covers two supply routes: cells and panels finished in Ethiopia from Chinese components and exported directly to the US, and cells finished in Ethiopia from Chinese components that are then assembled into panels in Vietnam using further Chinese inputs before being shipped to the US. TOYO filed comments and factual submissions opposing the petition before the probe began and says it will keep defending its position through the proceeding.
| Date | Event | Detail |
|---|---|---|
| May 12, 2026 | Petition filed | First Solar, Hanwha Q CELLS and other US solar makers ask Commerce for a country-wide anti-circumvention probe under Tariff Act Section 781(b) |
| May 27-28, 2026 | CBP detention | TOYO receives detention notices for two import entries; CBP cites Uyghur Forced Labor Prevention Act review; about 0.094MW valued at $13,770 (approx. ¥2.203mn) |
| July 17, 2026 | Investigation opened | Commerce formally begins the nationwide anti-circumvention probe covering Ethiopia-to-US and Ethiopia-to-Vietnam-to-US routes |
| August 19, 2026 | Disclosure | TOYO reports the matter as a contingent event in its US EDGAR interim filing |
The customs hold. Separately, on May 27 and 28, 2026, TOYO received detention notices from US Customs and Border Protection for solar cells covered by import entries 8QH26007473 and 8QH26007481. CBP indicated the shipments are connected to a review under the Uyghur Forced Labor Prevention Act. The detained volume across both notices is small: about 0.094MW of cells worth $13,770 combined, roughly ¥2.203mn, all manufactured by TOYO's Ethiopian subsidiary. TOYO and outside counsel have prepared and submitted supply-chain documentation seeking an exception from the forced-labor hold. CBP is still reviewing that material, and the company has not been given a timeline for a decision.
Company position. Abalance says TOYO and its Ethiopian subsidiary do not manufacture or export the type of product the anti-circumvention investigation targets, and it will keep asserting that position with US authorities. The company has committed to disclosing further developments as they arise. CBP's review of TOYO's forced-labor exception request remains open, with no completion date given; the nationwide circumvention investigation is also still underway.
The two matters remain procedurally distinct: the circumvention investigation could reshape US market access for Ethiopia-routed solar exports broadly, while the customs case turns on documentation for two detained consignments worth under $14,000 combined. Both are unresolved, and Abalance says it will update investors as either develops.