Meyer Burger closes German component plant! Withdraw from the European market

Photovoltaic manufacturer Meyer Burger has decided to close its module plant in Germany and focus on its US operations.

Meyer Burger said the lack of adequate measures to create a level playing field in Europe (such as flexible incentive schemes) was the reason for the closure of the factory. "A final decision must be made by the end of February," the company said.

Meyer Burger's Arizona plant will have an annual production capacity of 2GW of heterojunction modules. Just days after the unveiling of equipment and machinery acceptance at the Arizona plant, Meyer Burger is preparing to close the Freiberg plant in Germany as early as early April 2024, which will affect nearly 500 employees.

Meyer Burger's exit from the European module market follows the closure of several other PV manufacturing companies in Europe, such as REC Group and its polysilicon plant in Norway, as well as Norsun. Norsun stopped silicon ingot production in September 2023, but later announced plans to build a 5GW silicon wafer factory in the United States.

Despite the EU passing the Net Zero Industries Act in November, the goal of establishing in-house solar manufacturing within the bloc remains elusive.

Meyer Burger's cell production in Thalheim, Germany, will not be affected by this decision and will continue to support the company's module production in the United States. Equipment and R&D sites in Switzerland and Germany will also not be affected by these measures and will continue to support the company's operations outside Europe.

In conjunction with the announcement, Meyer Burger is pursuing strategic partnerships to accelerate commercialization of its technology, enabling faster growth and solidifying U.S. supply chains while reducing capital requirements.

Meyer Burger CEO Gunter Erfurt said that the Goodyear module plant is expected to be put into production in the second quarter of 2024.

"The closure of Germany's most advanced component production plant, less than three years after it opened, is a decision we would like to avoid. However, since legislators have long failed to make a firm commitment on measures to create a level playing field, we are prepared to Execute restructuring plan.

In the long term, the company foresees significant development potential in the United States, with 5.4GW of offtake agreements signed to date."