Why is reshoring solar manufacturing to Europe important?

Many European solar manufacturers are in crisis as market forces are driving down the price of solar components, making it difficult for Europe’s solar industry to sell their products. Reshoring manufacturing to Europe, therefore, needs a sound industrial strategy, with short-term support to keep European manufacturers afloat.

How much does a solar module cost in Europe?

Producing a solar module in Europe with EU-made solar cells costs around €0.103 ($0.12)/W more than producing the same module in China, according to a new report.

How will China's new tax rebates affect solar products?

In China, a reduction in export tax rebates for photovoltaic products, effective December 2024, has prompted solar manufacturers to adjust their strategies. The rebate reduction from 13% to 9% is expected to lead to a modest price increase, which may slightly impact costs for European buyers 3.

Are European solar manufacturers in crisis?

While this report clearly shows positive action in the direction of solar manufacturing across Member States, it is spread unevenly and is not at the level required. Many European solar manufacturers are in crisis as market forces are driving down the price of solar components, making it difficult for Europe’s solar industry to sell their products.

How are European regulations affecting sustainable solar practices?

Besides broader market developments, regulatory shifts in Europe are changing standards for ethical and sustainable solar practices. The European Union has introduced regulations to enhance transparency and accountability, focusing on Environmental, Social, and Governance (ESG).

Will European solar manufacturing be supported by the EU net-zero Industry Act?

Half a year since the publication of the European Solar Charter, and four months since the adoption of the EU Net-Zero Industry Act, SolarPower Europe has taken stock of the available support for European Solar Manufacturing.