Solar companies look to the U.S., but China is still expected to dominate solar panel manufacturing.
China has long been the leader in solar panel manufacturing. But a new report suggests that some solar manufacturers are starting to look to the U.S. for new production plants.
The report from GTM Research shows that 10 percent of new solar panel projects this year will be U.S. made, according to Computerworld. The report also noted that all of the recent solar module manufacturing announcements found were for projects outside of China.
In addition to the U.S., solar module makers are looking to Taiwan, Brazil, Malaysia, India, South Lorea and Thailand. But China remains the top nation for solar photovoltaic panel production, and along with the rest of Asia, continues to control seventy-seven percent of the market.
In the U.S., a government sponsored Investment Tax Credit currently gives residential and commercial buyers a 30% tax credit for solar installations. In 2017, the credit for businesses drops to ten percent.
A GTM solar analyst noted that manufacturers are looking to the U.S. due to the large market demand here, easy access to global markets, strong government support for renewable energy projects and a supportive business environment.
Global demand for solar photovoltaic is expected to increase dramatically in the coming years, with demand just this year expected to grow by as much as 25 percent.