The U.S. Treasury’s planned expansion of the CHIPS Act to include solar technology manufacturing promises a windfall for South Korean clean energy companies, with implementation set for December 23.
Hanwha Q Cells Co., the largest silicon solar module maker in the U.S., stands to receive subsidies worth up to 390 billion won ($283 million) for its planned manufacturing facilities in Cartersville, Georgia. The company is investing approximately 1.55 trillion won ($1.1 billion) to build ingot and wafer plants, each with 3.3 GW capacity, scheduled to begin operations by mid-2025.
The revised legislation offers subsidies covering 25% of facility setup costs for solar ingot and wafer production, extending beyond its original semiconductor focus. This move appears targeted at reducing U.S. dependence on Chinese solar products.
OCI Holdings Co. also plans to establish similar facilities, though investment details remain undisclosed.
Industry analysts note that the upcoming U.S. presidential election could impact these subsidy programs. A potential Trump victory might reshape policies supporting foreign manufacturers, particularly in semiconductor and renewable energy sectors.
The subsidies would complement existing benefits under the Inflation Reduction Act, which already provides advanced manufacturing production credits to these companies.
