New study reveals path to reshore solar manufacturing in Europe

• SolarPower Europe has published a new study with Fraunhofer Institute for Solar Energy Systems (ISE), revealing that the cost gap between Net-Zero Industry Act-compliant modules and Chinese imported modules can be reduced to below 10% with the right urgent policies. 

• The report highlights the risk that, without additional measures, NZIA provisions could support solar supply chain diversification without boosting European solar manufacturers, as there remains a significant cost difference (2.2 to 5.8 €ct/Wp) between NZIA-compliant EU-made and NZIA-compliant non-EU modules.

• Fully reshoring the PV value chain is more costly upfront, but delivers higher long-term macroeconomic benefits the ‘Reshoring Solar Module Manufacturing To Europe’ report models up to 2,700 jobs and €66.4 million in annual tax and social revenues per GWp/a. 

BILBAO, Spain (Tuesday 23rd September 2025):  Solar installations that support supply chain resilience can be competitive with imports from China with the right policy support, a new report from SolarPower Europe and Fraunhofer ISE reveals.

• The Net-Zero Industry Act: The European Commission adopted the Net-Zero Industry Act (NZIA) Secondary Legislation on 23 May 2025, establishing the rules for Member States on how to incorporate non-price criteria into renewable energy auctions. This follows the adoption of the Net-Zero Industry Act in June 2024. It is now up to the Member States to implement these provisions as of 2026. The NZIA offers a historic opportunity to reshore clean tech manufacturing in Europe. But its success depends on how Member States implement the non-price criteria in renewable energy auctions. As per the law, Member States are to apply non-price criteria (NPCs) to at least 30% of the auctioned volume per year, or 6 GW annually. These NPCs should account for 15% to 30% of the overall evaluation criteria, with some flexibility allowed in cases where associated costs exceed 15%. Resilience under Art. 26 NZIA is defined as not from the dominant source of supply. 

• The Net-Zero Industry Act Implementing Act: The Implementing Act of Article 26 of the NZIA further specifies the rules for EU country auctions to deploy renewable energy sources, including certain non-price criteria that must be applied to 30% of auction volumes (or 6 GW per EU country) from January 2026 onwards. It was adopted on 23 May 2025.

Kontakt: SolarPower Europe, Bethany Meban | b.meban@solarpowereurope.org | www.solarpowereurope.org