One of the things you may have questions about as you shop around for a solar system is where the solar panels are manufactured. This article will help you determine whether a panel’s country of manufacture should be a key consideration for you.
Note: If you are looking for information on the 30% tariff levied on solar panels by the Trump Administration, read our complete analysis here.
Does it matter where solar panel companies are based and where they make the panels?
When it comes to quality, the mention of any country’s name will evoke an association; each nation has its own brand image, which may or may not be justified. You as a smart solar shopper, however, will want to look at the facts in order to make a more well-informed decision. Our recommendation is to judge each panel by its own merits.
What if the country of manufacture is important to me?
This doesn’t mean that country of origin is never important, of course: everyone has their own preferences. For example, many Americans would prefer solar panels made in the USA to ones that are imported, whether for patriotic reasons or because they trust the ‘American-made’ brand for quality.
American-made vs imported panel costs
American-made solar panels generally cost from $0.50 to $0.80 per watt (W) – about $0.10 to $0.30 more per watt than imported panels. The highest quality, ‘premium’ American panels may even come in around $1.00/W.
For a typical 6kW system, an additional $0.30/W translates into about $1,800, a reasonable amount to pay if the ‘Made in America’ stamp is important to you. Also keep in mind that some states may offer rebates for locally-made panels that can offset some or all of the additional cost.
Check out our list of U.S. solar panel manufacturers for more information about companies that make solar panels in America.
Manufacturing location vs headquarters location
If ‘country brand’ is important to you, be aware that the location of a company’s headquarters is not always the same as its factories. (For example, SunPower is a premium American brand that has manufacturing plants in both the US and the Philippines.) All else being equal, knowing that a company’s head office is relatively close or in a familiar country could help you make a decision.
Where do the top solar companies manufacture panels?
Below, EnergySage has compiled a list of the leading solar panel companies active in the US market based on the most recently available data in 2018. The table is broken down by each company’s market share, headquarters location, manufacturing facility locations and overall quality ranking.
The key takeaways from the table below are that: 1) no single country dominates the market (although the US and China do appear most frequently), and 2) there is little to no correlation between country of manufacture and the company’s quality ranking.
Exhibit: List of solar panel makers in the US by residential market share and country of manufacture*
|Solar Panel Manufacturers||Approx. U.S. Market Share*||Company Headquarters|
|Hanwha Q CELLS||1%||South Korea|
|MAGE Solar||< 1%||Germany|
|Perlight Solar (Zebra Energy)||< 1%||U.S.|
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* 2015 Data, Residential Solar Installations, Source: GTM / SEIA