Siemens Plans to Expand Into U.S. Solar Industry

A collection of solar panels are pictured against a blue sky

Credit: Canva

by | Aug 21, 2023

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A collection of solar panels are pictured against a blue sky

(Credit: Canva)

Siemens plans to contribute to the expansion of the solar energy landscape in the United States as the company said it will manufacture photovoltaic string inverters in Kenosha, Wisconsin.

This decision will help address the surging demand for renewable energy components, while also supporting the country’s transition toward clean and sustainable energy as well as domestic production of the energy source, the company said. According to Siemens, local production is a vital component to enhance the U.S. solar industry.

Localized Manufacturing for Solar Industry

Siemens‘ decision to manufacture solar inverters in Kenosha is part of its focus on localizing production in the renewable energy sector.

By producing PV components in the U.S., Siemens, which is a subsidiary of Siemens AG is a technology company focused on industry, infrastructure, transport, and healthcare, aims to offer its customers the benefits of solar tax credits and domestic content incentives, which can subsequently lend to the growth of the renewable energy market.

This initiative not only supports the clean energy economy but also contributes to the goal of achieving 100% carbon-free electricity by 2050, it also involves a strategy of participating in the Inflation Reduction Act to support U.S. businesses, according to the company. 

Addressing the Surge in Solar Demand

Currently, the Solar Energy Industries Association (SEIA) projects fivefold growth in installed U.S. solar fleets from 2022 to 2033. Siemens’ investment in localized production helps address the challenges posed by this surging demand. 

Siemens’ Kenosha facility will produce PV string inverters with an industry-leading California Energy Commission efficiency rating of 99%. These inverters, ranging from 125 kilowatts to 155 kilowatts, can accommodate 1,000- or 1,500-Volt DC solar array inputs, making them suitable for decentralized or “virtual central” design architectures. 

The U.S. facility is expected to generate up to a dozen jobs during its initial phase, with plans for further growth in both the facility’s workforce and the regional supply chain. Additionally, Siemens continues to take capacity reservations for volume commitments in 2024.

 

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