This dominance of supply channels is nothing new. As early as 2012, the United States for the first time imposed anti-dumping and countervailing duties on crystalline silicon cells and components produced in mainland China and Taiwan. These anti-dumping/countervailing duties have thrust Southeast Asia into the PV manufacturing spotlight.

However, this is particularly important at a time when the United States is working to develop domestic PV manufacturing and move away from reliance on imported PV products from regions around the world that are not aligned with the United States’ long-term geopolitical trade relationships.

This article provides a comprehensive breakdown of the more than 50GW of photovoltaic modules consumed through U.S. channels in 2023, including module assembly locations, global module ownership breakdown, and what this means for U.S. module buyers in resolving traceability issues.

The source data for the charts and analysis comes from the "Photovoltaic Manufacturing and Technology Quarterly Report" released in March 2024. Commentary on these companies is supplemented by analysis in PV Module Tech's quarterly Bankability Ratings report.

It has never been more important to know where a product is produced and where upstream components are sourced, including polysilicon and other components. I have stated publicly many times that this is very important from a product quality perspective, but the current need comes from supply chain traceability and procurement practices related to environmental, social and governance (ESG).

Outside of First Solar, India’s module imports surge

It is unrealistic for the photovoltaic module purchasing community to become experts overnight and understand the full value chain supplier tendencies of the 50-60 companies that may participate in bulk inquiry bidding. Still, these buyers should at least know where the components are assembled (starting with the battery).

In 2023, U.S.-made modules will account for about 15%, with about two-thirds made domestically by First Solar. In this regard, there are no big surprises.

However, to the surprise of many people, a large number of components made in India are imported into the United States; in fact, the success of Indian photovoltaic companies is no accident. For nearly two decades, many companies have been patiently waiting for export opportunities to arise.

Until recently, almost all of the focus on restricting U.S. module imports has been on the origins of regional cell and module capacity, rather than on tracing the origins of company ownership.

This goes a long way to explaining how the Southeast Asian "problem" has evolved over the past decade, namely that Chinese component suppliers have such a high market share of components purchased through U.S. downstream channels.

De-risking component supply solutions remains a focus in 2024

Excluding the construction of First Solar's domestic silicon wafer plant, new domestic photovoltaic capacity in the United States is still developing in stages during 2024, and the same may be true in 2025 and 2026. Discussions regarding the appropriate distribution of IRA funds will continue.

Additionally, the possibility of new and revised tariffs will always exist. With all these distractions, it’s no wonder that U.S. module buyers just want suppliers to choose from for the next few years with minimal risk and on-time and smooth delivery.Trina solar panels