US module maker signs deal to build mega factory in Indonesia

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SEG Solar said it has signed a land use agreement with Indonesian industrial real estate development agency Kawasan Industri Terpadu Batang that will see the manufacturer develop and operate a PV industrial park that is expected to include factories for the production and assembly of silicon ingots, wafers, cells, and modules.

The industrial park is to be established at Grand Batang City, the largest state-owned industrial estate in Indonesia, and SEC said the facility is set to become Southeast Asia’s largest PV industrial park.

The U.S. company, which last year signed an 80-year lease for the central Java site, said the project will have an investment exceeding $752 million (USD 500 million) and will encompass more than 40 hectares.

The Batang facility is to include manufacturing capacity of 5 GW for silicon wafers, 5 GW for solar cells, and 5 GW for modules. SEG said the first phase of the project will deliver facilities with a production capacity of 5 GW for solar cells and 3 GW for modules.

The project is scheduled to be completed in the second quarter of 2025 with cells produced at the Batang facility to supply SEG’s 2 GW module factory in Texas.

SEG founder and Chief Operating Officer Jun Zhuge said this will ensure the traceability of the supply chain and help guarantee the reliability and stability of core material supply for modules.

“Integrated layout across the entire industry chain is crucial for SEG to adhere to legally compliant supply chain standards,” he said. “Through upstream and downstream coordination, SEG ensures the provision of clean, traceable green products for the markets in the United States, Europe, and Indonesia.”

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