Solar Panel Manufacturing in the US - Market Research Report (2014-2029)
New York, United States
Last Updated: August 2024
NAICS 33441cRevenue
$20.5bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
3,230
Businesses
21
Wages
$XXX.Xm
Solar Panel Manufacturing in the US industry analysis
Solar panel manufacturers have thrived despite some hurdles throughout the period. Companies saw an uptick in the need for solar panels as the country continued emphasizing renewable energy. The Inflation Reduction Act bolstered and extended production and investment tax credits, making domestic manufacturing more viable. Even so, manufacturers have been plagued by import penetration, specifically from Asian products, which flooded the US market with low-cost solar modules and cells. In 2022, the Biden Administration announced waiving tariffs on solar panel imports from Vietnam, Malaysia, Cambodia and Thailand to accelerate solar panel installations across the country in favor of renewable energy. While this didn't hinder revenue, it caused a slowdown in growth toward the end of the period. Overall, solar panel manufacturing revenue has swelled a CAGR of 10.1% to $20.5 billion in 2024, including an 11.5% jump in 2024 alone.
Trends and Insights
- The Biden administration continued to purse government investment and subsidies to bolster solar power across the country. This commitment to investing in infrastructure and renewable energy materialized through additional funding and subsidies for solar panel integration, supporting domestic manufacturers.
- Falling polysilicon prices resulted in silicon-based cells and modules being the main component for solar panel manufacturing. Silicon-based products bolster greater efficiency than their counterparts, and now can compete based on price too.
- New initiatives and policies like the California Solar Initiative offer rebates, allowing sunny areas to further encourage solar panel manufacturing. Key export markets like Japan are also accessible through California, boosting its attractiveness as a location for manufacturers.
- The domestic market continues to face stiff competition still with more affordable imported products from Asia. Competition was exacerbated by an appreciating dollar, making US exports less attractive on the global market.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 10.1 % over the past five years, to reach an estimated $20.5bn in 2024.
Trends and Insights
Early attempts to stop import penetration
- Oversupply from Chinese manufacturers led the prices of solar modules and cells to dip, crippling domestic manufacturers as lower cost imports dominated the market. In response, the Coalition for American Solar Manufacturing (CASM) successfully petitioned the Department of Commerce (DOC) to implement tariffs against Chinese imports and apply safeguards against attempts to circumvent these tariffs.
- Additional trends and insights available with purchase
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
New trade activity will stem from growing exports
- While the United States will continue to import more cells and modules than it exports, the gap is set to shrink. Tariffs will continue to bolster revenue for manufacturers moving forward.
Biggest companies in the Solar Panel Manufacturing in the US
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
First Solar, Inc. | 4,447.3 | 1,970.7 | 44.3 |
To view the market share and analysis for all 1 top companies in this industry, view purchase options.
Products & Services Segmentation
Solar Panel Manufacturing in the US
Products & Services
Industry revenue is measured across several distinct product and services lines, including Silicon modules and cells, Thin-film modules and cells and Other modules and cells . Silicon modules and cells is the largest segment of the Solar Panel Manufacturing in the US.
Trends and Insights
Silicon modules and cells continue to prevail
- Solar modules and cells are made from silicon. While there are various silicon products on the market, crystalline silicon cells and modules, primarily monocrystalline and polycrystalline, dominate the market. Monocrystalline cells are small and efficient but very expensive. Polycrystalline cells have high energy outputs but take up more space.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Wind Turbine Manufacturing in the US
- Wind Power in the US
- Solar Power in the US
Complementors
- Semiconductor & Circuit Manufacturing in the US
International industries
- Power Automation Products and Other Electrical Equipment Manufacturing in Australia
- Electronic Component Manufacturing in the UK
- Solar Panel Manufacturing in China
Table of Contents
About this industry
Industry definition
Operators in this industry manufacture solar panels and solar cells and supply these products to solar panel installers and downstream residential, commercial and utility customers. This industry does not include solar cells or solar panels manufactured abroad by US companies.
What's included in this industry?
Silicon modules and cellsThin film modules and cellsOrganic modules and cellsCompanies
First Solar, Inc.Purchase this report to view all 1 major companies in this industry.
Related Terms
KILOWATT-HOUR (KWH)MEGAWATTRENEWABLESWAFERPOWER SYSTEMEFFICIENCYRENEWABLE PORTFOLIO STANDARDS (RPS)Industry Code
NAICS 334413 - Solar Panel Manufacturing in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
The Biden administration continued to purse government investment and subsidies to bolster solar power across the country. This commitment to investing in infrastructure and ...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Falling polysilicon prices resulted in silicon-based cells and modules being the main component for solar panel manufacturing. Silicon-based products bolster greater efficien...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2024
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
New initiatives and policies like the California Solar Initiative offer rebates, allowing sunny areas to further encourage solar panel manufacturing. Key export markets like ...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each state in 2024
- Number and share of revenue each state accounts for in 2024
- Number and share of wages each state accounts for in 2024
- Number and share of employees in each state in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
The domestic market continues to face stiff competition still with more affordable imported products from Asia. Competition was exacerbated by an appreciating dollar, making ...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
First Solar has managed to reap the benefits of both government subsidies and affordable conditions abroad. By establishing manufacturing facilities in Malaysia, First Solar ...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of First Solar, Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for First Solar, Inc., and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Volatile commodity price swings, like steaming coal and natural gas, have allowed solar panel manufacturers to take advantage of surges. Even so, many consumers are unwilling...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
While profit took a backseat due to an influx of low-cost imports from Asian countries, this decline was short-lived. As waivers expired in June 2024, manufacturers are antic...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Industry Multiples (2017-2022)
- Industry Tax Structure (2017-2022)
- Income Statement (2017-2022)
- Balance Sheet (2017-2022)
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
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Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Solar Panel Manufacturing in the US industry in United States in 2024?
The market size of the Solar Panel Manufacturing in the US industry in United States is $20.5bn in 2024.
How many businesses are there in the Solar Panel Manufacturing in the US industry in 2024?
There are 21 businesses in the Solar Panel Manufacturing in the US industry in United States, which has declined at a CAGR of 0.0 % between 2019 and 2024.
Has the Solar Panel Manufacturing in the US industry in United States grown or declined over the past 5 years?
The market size of the Solar Panel Manufacturing in the US industry in United States has been growing at a CAGR of 10.1 % between 2019 and 2024.
What is the forecast growth of the Solar Panel Manufacturing in the US industry in United States over the next 5 years?
Over the next five years, the Solar Panel Manufacturing in the US industry in United States is expected to grow.
What are the biggest companies in the Solar Panel Manufacturing in the US market in United States?
The biggest company operating in the Solar Panel Manufacturing market in United States is First Solar, Inc.
What does the Solar Panel Manufacturing in the US in United States include?
Silicon modules and cells and Thin film modules and cells are part of the Solar Panel Manufacturing in the US industry.
Which companies have the highest market share in the Solar Panel Manufacturing in the US in United States?
The company holding the most market share in United States is First Solar, Inc..
How competitive is the Solar Panel Manufacturing in the US industry in United States?
The level of competition is high and increasing in the Solar Panel Manufacturing in the US industry in United States.
