CS PowerTech opens $1B solar cell plant in Indiana, adding 1,200 jobs

CS PowerTech Inc., the largest silicon PV solar manufacturer in the U.S. and a subsidiary of Canadian Solar Inc. (NASDAQ: CSIQ), opened the first phase of its flagship photovoltaic cell plant at the River Ridge Commerce Center in Jeffersonville, Indiana, the company said Thursday. The facility, representing nearly $1 billion in local investment, will produce heterojunction bifacial N-type solar cells and is expected to reach more than 6 GWp of annual capacity at full build-out, supporting over 1,200 skilled jobs in Southern Indiana.

"This facility will produce next-generation HJT solar cells, support domestic manufacturing, and ultimately strengthen grid reliability as our customers deploy the products," Rusty Schmit, President of CS PowerTech, said. The Jeffersonville plant is the first U.S. cell facility designed for HJT technology, which combines higher efficiency with bifacial energy capture from both sides of the panel.

The plant complements CS PowerTech's existing module assembly facility in Mesquite, Texas, creating a vertically integrated domestic supply chain that spans cell production through module assembly. Canadian Solar Chief Executive Officer Colin Parkin said the HJT technology gives the company "the ability to deliver leading technology, improved energy yield, and long-term value for customers while strengthening domestic advanced manufacturing."

CS PowerTech expects to ramp phase one to full capacity over the coming months and begin work on phase two before year-end. The company now employs more than 3,000 Americans across its U.S. manufacturing operations.

Why HJT matters for the solar market

Heterojunction cells combine a crystalline silicon layer with thin amorphous silicon layers on both sides, achieving higher conversion efficiencies than mainstream PERC or TOPCon technologies. The Jeffersonville plant's HJT cells will feed CS PowerTech's Texas module line, giving the company control over both the most technically demanding and the most capital-intensive steps of solar manufacturing.

The U.S. push into HJT manufacturing is accelerating. SEG Solar announced plans for a U.S. HJT module plant this year, and Toyo Solar has moved toward building an HJT cell facility after facing antidumping duties on its TOPCon cells from Ethiopia. In China, Dinto Solar recently won a 1 GW HJT module supply contract with state-owned China Datang Corp., signaling sustained demand for the technology.

Investment implications

Canadian Solar shares trade at a discount to U.S. solar peers as the company navigates tariff uncertainty and the shift from Chinese manufacturing to domestic production. The Jeffersonville plant, backed by the Inflation Reduction Act's domestic manufacturing credits, could improve margins by reducing exposure to import duties and shipping costs. Phase two expansion, expected before year-end, would add further capacity and potentially lift the company's U.S. market share above its current position as the largest domestic silicon PV manufacturer.

Indiana Governor Mike Braun called the investment "good-paying jobs for Hoosiers" that reinforces the state's role in advanced manufacturing. The plant received support from state and local economic development agencies, though specific incentive terms were not disclosed.

This article is for informational purposes only and does not constitute investment advice.