Singaporean solar maker Maxeon in $1bn deal for 3GW New Mexico manufacturing plant

Decision on proposed site outside Albuquerque spurred by landmark climate legislation but depends on approval by Energy Department loan programme

Maxeon's new manufacturing site in New Mexico. . Artists rendering of Maxeon manufacturing facility.
Maxeon's new manufacturing site in New Mexico. . Artists rendering of Maxeon manufacturing facility.Foto: Maxeon

Maxeon Solar, the Singaporean spinoff of US-based SunPower Corporation, returns to its roots on the strength of landmark climate law incentives with a 3GW, $1bn proposed investment into New Mexico.

The company announced the proposed site near commercial centre Albuquerque for manufacturing of its latest-generation TOPCon PV-silicon cell technology and shingled-cell Performance Line solar modules to “meet rapidly growing demand for domestically produced solar panels”, the company said.

"Thanks to the support of the Biden administration, the US is now poised to re-shore and scale up a domestic solar supply chain,” said Bill Mulligan, Maxeon CEO.

“We see tremendous opportunity to help the country advance its clean energy agenda while generating strong local economic impact,” he added.

The move is the latest in a string of announcements of new solar manufacturing investments in recent months as landmark climate legislation passed last year spurs growth in the renewables.

The Inflation Reduction Act (IRA) funnels some $369bn in incentives to clean energy generation and has already spurred nearly $270bn in capex investment into clean energy generation and manufacturing, according to a new report by industry group American Clean Power Association (ACP).
Swiss solar cell and module manufacturer Meyer Burger, for one, has halted an expansion of a German factory and will instead build a new plant in Colorado, saying it is in line to collect $1.4bn in subsidies under the IRA.

The plant is subject to successful financial close under the Department of Energy's (DoE) Title 17 Clean Energy Financing Program.

The company is currently in the due diligence stage of its loan application, and site selection is an important milestone in completing this process with DoE's Loan Programs Office.

It is expected to be the first large-scale PV cell and panel manufacturing facility in New Mexico.

The Singaporean firm expects to begin construction in the first quarter of 2024, with factory ramp-up to commence in 2025.

Maxeon estimates the new facility will create up to 1,800 jobs, including highly skilled manufacturing and engineering jobs, and produce millions of solar panels each year for the American market.

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Published 11 August 2023, 17:30Updated 11 August 2023, 17:30
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