The US solar industry installed 10.8 gigawatts-direct current (GWdc) of capacity in the first quarter of 2025. Despite both a quarterly and annual decline in capacity, Q1 2025 was the industry''s fourth-best quarter.
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American-made solar panels typically cost $0.05-0.15 per watt more than imported alternatives at the wholesale level. However, shorter lead times, reduced shipping costs, and domestic content tax credit bonuses often offset these premiums for end customers.
This dramatic shift represents one of the most successful industrial policy initiatives in recent American history. Today, US solar manufacturing facilities can produce over 51 gigawatts (GW) of solar modules annually —enough capacity to meet nearly all domestic demand for solar installations.
The US added 8.6 GW of solar module manufacturing capacity in Q1, bringing the total to 51 GW. However, growth in upstream manufacturing capacity remains slow or non-existent. ES Foundry became just the second domestic cell manufacturer when it opened a 1 GW cell factory in South Carolina in January.
Recent statistics by the Solar Energy Industries Association (SEIA) show a significant 71% increase in American solar panel manufacturing capacity in Q1 2024, with the industry reaching 200 gigawatts. In response to global supply chain challenges, there's been a significant shift toward producing US-manufactured solar panels.
Module Assembly: This represents the strongest segment of US solar manufacturing, with over 51 GW of annual capacity across dozens of facilities nationwide. First Solar remains America’s largest solar manufacturer, specializing in cadmium telluride (CdTe) thin-film technology.
The US solar industry installed 10.8 gigawatts-direct current (GWdc) of capacity in the first quarter of 2025. Despite both a quarterly and annual decline in capacity, Q1 2025 was the industry’s fourth-best quarter. The utility-scale segment followed a similar trend, with 9 GWdc of capacity, which is lower than both Q1 2024 and Q4 2024.
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