Universal Solar To Open 600 MW PV Module Factory In Panama

Large scale solar energy player Universal Solar has announced that it is in the process of opening a solar photovoltaic (PV) module manufacturing facility in Panama to supply U.S. and global solar developers and installers, and address challenges in the solar industry.

The announcement was made by Chief Executive Officer (CEO) and Founder John Bereckis. He said, “Modules made in the Americas will bypass many of the constraints afflicting the U.S. solar industry today, in particular supply issues related to Asian manufacturers. These constraints include existing tariffs and the threat of additional tariffs; COVID-related factory closures, shipping delays and price hikes; and the federal ban on products containing silicon sourced from Hoshine, China.”

“The prospect of tariffs on additional Asian countries has thrown the supply chain into turmoil, despite the Biden administration’s two-year pause. Modules from Central America will give U.S. developers a much-needed alternative,” Bereckis said.

The official statement of Universal Solar has revealed that the company has begun to take orders now. The delivery is anticipated in the fourth quarter this year. The solar energy company has forged a Master Service Agreements for over 400 megawatts (MW) of modules. It is negotiating an additional 175 MW, which would account for nearly all of the factory’s 600-MW first-line capacity.

Universal Solar said that Panama manufacturing plant is comprised of 200,000 square feet with equipment sourced from industry leading OEMs. Equipment is being purchased and installed and up to 50 employees are being hired.

Universal Solar held that the first module lines will range from 350 to 545 watts. All will be high-efficiency (20.04 to 21.46 percent), low-LID, mono PERC and some will feature half-cell technology. The company will offer 25-30 years linear power output warranties and 12-15 years material and workmanship warranties.

Shipments from the plant in Central America will reach any U.S. port in approximately five days.

Strategic Location of Panama

Universal Solar stated that it chose Panama for its strategic location and because it is exempt from tariffs like those affecting Asian modules. The U.S. has a long-standing Free Trade Agreement with Panama, and Panama is an example of “near-shoring” in which U.S. businesses locate operations in countries close to home.

The Universal facility is in the Colón Logistics Park located in the Colón Container Terminal CCT in Colón, Republic of Panama. It is in a Free Trade Zone, where goods are imported and exported without incurring taxes or duties or being declared.