Roll tide, build solar: First Solar inaugurates $1.1B Alabama facility

(Credit: First Solar)

It’s a tricky time to invest in domestic solar manufacturing, but don’t tell that to First Solar.

The solar panel producer has inaugurated its new $1.1 billion manufacturing facility in Lawrence County, Alabama, a long-awaited expansion of its three-factory footprint in Ohio. The fully integrated thin-film solar plant will add 3.5 gigawatts (GW) of capacity once the production line is fully ramped up, giving First Solar a domestic nameplate capacity of nearly 11 GW (and 21 GW globally).

“This is the first of two fully vertically integrated solar manufacturing facilities that solidify the role of the Gulf Coast states in enabling America’s all-of-the-above energy strategy,” said Mark Widmar, chief executive officer of First Solar. “This energy technology manufacturing facility produces American solar panels, with American-made components sourced from a supply chain that spans the country. The hundreds of people that operate this facility represent the next generation of American energy workers and are joined by thousands more steelworkers, glassworkers, miners, truck drivers, railroad workers, and others that enable our mission to support our country’s energy security.”

First Solar is also constructing a $1.1 billion, 3.5 GW facility in Louisiana, which is expected to be commissioned in the second half of 2025. The company expects to have over 14 GW of annual nameplate capacity in the United States and 25 GW globally by the end of 2026.

The Alabama facility’s entire solar value chain – equivalent to transformation from semiconductor to wafer to cell to module – operates under one roof, using one tightly controlled process with rigorous quality assurance and control, according to First Solar.

First Solar says its manufacturing process transforms a sheet of glass into ready-to-ship thin film solar panels in approximately four hours. The company’s cadmium telluride products do not use polysilicon, a raw material produced in limited quantities domestically. This allows First Solar to avoid increased tariffs on solar products manufactured in China, making them a hot commodity for developers seeking Inflation Reduction Act tax credits.

First Solar previously announced the Series 7 modules it will produce at the new Alabama facility will be made with 100% U.S. components as defined under the Treasury Department’s rules for the IRA tax credits. They will use Alabama-sourced steel, smelted, rolled, and fabricated within a 25-mile radius of the facility, which will bring about 800 new energy technology manufacturing jobs in the state.

“This represents a great day for First Solar and for Lawrence County because this production facility is destined to become a major player in the US renewable energy market,” said Alabama Governor Kay Ivey. “Moreover, the Alabama workers at this facility will help break the nation’s dependence on foreign-made solar panels and contribute to our energy independence.”

“First Solar’s $1.1 billion manufacturing facility in Lawrence County is likely the largest investment project ever undertaken in one of our rural counties, demonstrating that our rural communities are prepared to meet any challenge. This is also a highly positive development for Alabama’s expanding green energy sector and strengthens our state’s growing leadership in the US clean energy industry,” added Ellen McNair, secretary of the Alabama Department of Commerce.

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