From Factory to Rooftop

Introduction

The path a solar panel takes from raw materials to rooftop installation is long, complex, and vital to the industry’s health. Understanding the solar supply chain not only reveals the global forces shaping clean energy, but also shows where innovation and reform are most needed.

Key Components of the Solar Supply Chain

• Raw Materials: Quartz (for silicon), silver, aluminum, glass, and copper are core materials

• Wafer and Cell Production: Silicon wafers are sliced and turned into photovoltaic (PV) cells

• Module Assembly: Cells are packaged into panels with protective layers

• Inverters, Racking, and Balance of System (BOS): Essential components to complete installation

Global Manufacturing Hubs and Trade Dynamics

• China leads in production of wafers, cells, and modules

• Southeast Asia (Vietnam, Malaysia) are also key players

• Tariffs and trade policies influence pricing and supply availability

• Rare material dependencies create geopolitical vulnerabilities

Domestic Manufacturing and the Push for Reshoring

• The U.S. is investing in domestic solar manufacturing through:

• Key goals: reduce dependence on foreign suppliers, create jobs, improve supply chain resilience

Supply Chain Challenges and Disruptions

• COVID-19 pandemic: Delayed shipping and component shortages

• Shipping bottlenecks: Port congestion and freight costs increased prices

• Material constraints: Silver and polysilicon price spikes

The Role of Policy in Shaping the Supply Chain

• Section 201 tariffs on imported modules

• Uyghur Forced Labor Prevention Act (UFLPA): Greater scrutiny of material origins

• IRA incentives promoting U.S.-made components and labor standards

Sustainability and Ethical Sourcing

• Solar manufacturers are under pressure to ensure:

• Transparency and traceability are becoming industry priorities

What This Means for Installers and Buyers

• Buyers may face cost and availability fluctuations

• Domestic content rules can affect incentives

• Transparency in sourcing can be a selling point

• Surge can help clients navigate product selection and sourcing strategies

TL;DR

• The solar supply chain spans from raw materials to panel assembly and BOS components

• China and Southeast Asia dominate production, but U.S. reshoring is growing

• Policy and trade laws deeply impact costs and availability

• Ethical sourcing and sustainability are rising priorities

• Surge offers guidance on navigating supply chain complexities for smart solar deployment