A strong U.S. solar and storage manufacturing base can reduce supply chain uncertainty, drive clean energy deployment, and strengthen America’s energy security.
Federal policies that directly support domestic manufacturing (Section 45X tax credit, Section 48C tax credit), solar deployment incentives (ITC and PTC), and policies that encourage demand for domestic products (domestic content adder credit) have worked in tandem to lead to a ¬¬boom in U.S. solar and energy storage manufacturing investments. These incentives help make American solar and storage manufacturing more competitive in the global market.
- U.S. solar manufacturing announced investments now total $25.8 billion since federal manufacturing policies were enacted in 2022.
- $1.6 billion of these manufacturing investment announcements are operational, $15.5 billion are under active construction, and another $8.7 billion manufacturing investments are under development.
- These investments will create nearly 39,000 manufacturing jobs. By 2033, SEIA expects America’s solar manufacturing workforce will grow to 100,000 workers
- Of these jobs, 5,700 are in facilities that are operational, 18,100 of these jobs are in manufacturing facilities under active construction, and 14,600 of these jobs are in facilities that are under development.
- 48 new solar manufacturing facilities have come online because of federal manufacturing incentives and 49 facilities are under active construction.
- There are solar manufacturing facilities in 43 states.
- 225 manufacturing facilities have opened or planning to open in 24 states with Republican Governors and 176 manufacturing facilities have opened or are planning to open in 19 states with Democrat governors.
- 204 manufacturing facilities have opened or planning to open in 103 congressional districts with Republican representatives and 141 have opened or are planning to open in 79 congressional districts with Democrat representatives.
- There is currently 39 gigawatts (GW) of domestic module manufacturing capacity online, enough to supply most of American demand in 2024.
According to the SEIA supply chain dashboard, there have been more than 100 new solar and storage manufacturing announcements since federal manufacturing incentives were established. New manufacturing announcements reflect:
- A stronger manufacturing ecosystem, with increased investment at all levels of the supply chain. This means more key inputs and materials are being processed or manufactured in the United States
- A revival of American solar component manufacturing that has not existed in years.
- An increase in U.S. supplier diversification, with expansions from existing U.S. suppliers and first-time investments by manufacturers new to the American market.