During the first quarter of 2024, a record 11 gigawatts (GW) of solar module manufacturing capacity came online in the United States, the largest quarter of solar manufacturing growth in US history.
According to the report US Solar Market Insight Q2 2024 published by the Solar Energy Industries Association (SEIA) and Wood Mackenziethe total manufacturing capacity of solar modules in the United States now exceeds 26 GW annually.
Additionally, the industry also installed an impressive 11.8 GW of new solar capacity, bringing total capacity to 200 GW in the United States. The report also contains new data from 2023, showing that the United States added more than 40 GW of new solar capacity last year. Wood Mackenzie now projects that the US solar industry will install another 40 GW in 2024.
New investments
“This quarter demonstrates that new federal investments in clean energy are revitalizing American manufacturing and strengthening our nation’s energy economy,” said SEIA President and CEO Abigail Ross Hopper. “Whether it’s a billion-dollar investment in a nearby solar project or a new manufacturing plant employing hundreds of local workers, the solar and storage industry is lifting up communities in every state in this country.”
Massive growth in the utility-scale market is driving record solar deployment numbers, as the segment added nearly 10 GW of new capacity in the first quarter. Florida and Texas experienced strong growth and led the number of new solar installations across all states in the first quarter. Other markets, such as New Mexico and Ohio, also had good quarters, with the installation of 686 and 546 megawatts (MW), respectively.
“The US solar industry continues to show strength in terms of deployments,” said Michelle Davis, head of global solar at Wood Mackenzie and lead author of the report. “At the same time, the solar industry faces a number of challenges to its continued growth, including labor availability, limitations of high-voltage equipment and continued trade policy uncertainty.”
Similar demand
The residential solar segment is feeling the full weight of political changes in California and experienced its worst quarter in two years. The commercial and community solar markets remained stable year over year.
Ultimately, total US solar capacity is expected to double in the next five years, reaching 438 GW in 2029.
