The lawsuit, filed by the firm Levi & Korsinsky under the brand SueWallSt, alleges that First Solar management downplayed the impact of reciprocal tariffs reaching up to 46% on modules imported from Malaysia and Vietnam. While officials publicly described the trade environment as favorable, the complaint contends that the company faced structural production shortfalls and persistent facility underutilization that were not accurately disclosed to the market.

Financial strain intensified as the company shifted finishing operations to South Carolina, a move requiring approximately $330 million in capital expenditure. The complaint points to two specific market corrections—a 10.29% drop on January 7, 2026, and a 13.61% decline on February 25, 2026—as evidence that the firm’s public outlook failed to reflect the reality of its operational challenges. Investors seeking to serve as lead plaintiff in the case must submit their applications by August 24, 2026.