SMA says its total inverter capacity will double to 40 GW once its new factory is fully operational in Niestetal, Germany.

SMA Solar Technology AG has started building a 20 GW inverter factory at its headquarters in Niestetal, in Hesse, Germany. The new manufacturing facility will be completed by the end of 2024, pushing the company's total annual capacity to 40 GW.

“Against the background of global climate change, the entire world is pinning its hopes on renewable energy,” said SMA CEO Jürgen Reinert. “But to leverage this enormous potential, photovoltaics have to be intelligently coupled with storage systems, e-mobility, and other sectors and integrated in the overall system.”

He said the German inverter manufacturer will produce system solutions for large-scale PV power plants within two years in Niestetal.

“And shipping them out across the world,” said Reinert. “In this way, we will be making a vital contribution right here in this region to a future-proof energy supply.”

Reinert recently said that SMA Solar is also considering investing in a factory in the United states, although a decision has not yet been made. However, the subsidies from the US Inflation Reduction Act currently make it attractive to open production facilities in the US market, given that SMA also has a large market share in PV plants overseas.

“Delivering these from Hesse would mean a price disadvantage of around 20%,” said Reinert.

In the future, SMA Solar mainly plans to produce systems for the large-scale plant segment.