First Solar's plans are part of a surge in expected investment in clean-energy technologies spurred by the law and growing demand for solar, wind, and batteries to meet ambitious U.S. climate goals, the Wall Street Journal reports. The U.S. government is also concerned about relying too heavily on China.
First Solar's modules directly support the country's transition to a decarbonized future and enable the fight against climate change.
The investment will likely expand its ability to produce American-made solar modules for the U.S. market to over 10 gigawatts (GW)DC by 2025.
First Solar aims to build its fourth, fully vertically integrated domestic factory, with an annual capacity of 3.5 GWDC, in the U.S. Southeast.
First Solar expects to invest up to $1 billion in the new factory, likely to commence operations in 2025.
Additionally, First Solar will invest $185 million in upgrading and expanding its Northwest Ohio manufacturing footprint, currently the largest vertically-integrated complex of its kind in the Western Hemisphere, by 0.9 GWDC. First Solar will invest in increasing the capacity of its two operating facilities in Perrysburg and Lake Township, Ohio, by 0.6 GWDC to 3.6 GWDC of annual Series 6 module capacity.
First Solar will also expand its third Ohio factory, expected to be commissioned in the first half of 2023, to 3.5 GWDC of annual Series 7 module capacity.
The expansion will increase First Solar's total investment in its Ohio manufacturing facilities to over $3 billion, with a cumulative annual production capacity of over 7 GWDC by 2025.
First Solar expects the new investment to add at least 850 new manufacturing jobs, taking its total number of direct jobs in the U.S. to over 3,000 people in four states by 2025.
By 2025, First Solar will likely support 15,000 indirect and induced jobs.
On completion of its expansion plans in the U.S. and India, First Solar looks to have over 20 GWDC of annual global manufacturing capacity in 2025.
Price Action: FSLR shares traded higher by 1.82% at $123.90 in the premarket on the last check Tuesday.
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