Chinese companies are becoming leaders in the US solar panel market

By 2025, Chinese companies plan to reach an annual US solar panel production capacity of at least 20 gigawatts, which would allow them to serve half of the US market. This is reported by Reuters.

Construction of solar panel factories in the US by Chinese companies is gaining momentum. This gives China the opportunity to dominate a new industry while American manufacturers struggle to compete despite federal subsidies.

It is predicted that already next year, Chinese companies will reach an annual production capacity of solar panels at the level of 20 gigawatts. This volume will be enough to supply about half of the needs of the US market, which presents a significant challenge for local producers.

This surge in solar panel production by Chinese companies is raising concerns about President Joe Biden's climate policy. While the US administration supports new investments that create jobs in clean energy, there is a risk of over-reliance on China, especially as it transitions from oil and gas to renewables.

"The Chinese have a lot more experience in building factories and setting up supply chains," said David Feldman, a solar energy market researcher at the US Department of Energy's National Renewable Energy Laboratory.

Chinese companies are already the largest suppliers of solar panel components and electric vehicle batteries imported into the US. They make up a fifth of the solar plants announced after the adoption of new climate subsidies in the US.

Thus, despite the efforts of the Biden administration to stimulate the development of its own clean energy, China continues to strengthen its position in the American market. This poses serious challenges to US national energy security and requires strategic decisions at the state level.