How does tariff risk affect a battery energy storage system (BESS) project?

Mitigating tariff risk in battery energy storage system (BESS) projects is crucial for ensuring project financial viability, as tariff changes can significantly affect cost structures and overall project economics.

Will China impose tariffs on lithium-ion EV batteries?

An interesting issue will be the imposition of tariffs. There are existing tariffs pursuant to Section 301 of the Trade Act of 1974 on some Chinese-origin lithium-ion EV batteries and non-lithium-ion battery parts, which were increased to 25% in September 2024.

Why is battery storage important in Romania?

This policy shift aligns Romania more closely with EU energy goals, where battery storage is increasingly recognized as an enabler of grid flexibility, renewable integration, and energy security.

When will Chinese-origin lithium-ion non-EV batteries be taxed?

Tariffs on Chinese-origin lithium-ion non-EV batteries are scheduled to increase to 25% effective January 1, 2026. Otherwise, batteries of non-Chinese origin storage batteries have not been subject to multi-front targeted tariff or duty actions.

Why is Romania removing double taxation on energy storage?

Romania’s elimination of double taxation on energy storage is more than a technical adjustment—it’s a strategic inflection point. By aligning its regulatory framework with market realities, the country is removing one of the last structural barriers to widespread BESS adoption.

Is Romania a hotspot for battery storage in Eastern Europe?

It also positions Romania as an emerging hotspot for battery storage investment in Eastern Europe, alongside EU peers like Greece and Poland, who are also reforming their grid regulations. For the European energy storage ecosystem, Romania’s move is strategically significant.