From Investing.com: 2024-04-15 07:48:16

European governments are too late to support solar panel maker Meyer Burger as they plan to move production to the U.S. Freiberg plant shut down in March, leading to 500 job losses. Meyer Burger is among many European renewable energy manufacturers facing financial difficulties due to competition from China and the U.S.

Despite a boom in wind and solar energy in Europe, European solar panel manufacturers are struggling to compete with China and the U.S. European governments must decide whether to offer more support to keep local production competitive or allow imports to continue. In the U.S., subsidies are attracting renewable energy businesses from the EU and elsewhere.

Norwegian battery company Freyr is focusing on a plant in Georgia, while solar panel maker Meyer Burger plans to open a factory in Arizona. Despite efforts to seek support from Norwegian and European governments, both companies have shifted their focus to the U.S. The European Commission is launching a voluntary charter to support solar manufacturing.

European policymakers aim to reach a target of producing 40% of the region’s clean tech needs by 2030. In February, almost $1 billion of German state aid was approved for a Swedish battery producer to set up a production plant in Germany. Member states are responsible for supporting struggling businesses, but ongoing operations may not receive aid.

European renewable energy installers, who rely on low-cost Chinese imports, are pushing back against subsidies for local panels. A backlog of imported panels is awaiting installation in Europe, and that backlog may grow as Chinese capacity continues to expand. European manufacturers face challenges due to their smaller volumes compared to China and the U.S.



Read more at Investing.com: Losing hope of rescue, some European solar firms head to US By Reuters