LG to close US solar module manufacturing facility

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From pv magazine USA

Following yesterday's news that Korean electronics manufacturer, LG, will be folding its solar module business by the end of June, LG will also be ceasing production and solar operations at its 550-MW solar module assembly plant in Huntsville, Alabama, also set to happen in June.

Completed in 2019, the facility was among the largest module manufacturing plants in the US, providing jobs for some 160 plant employees and 60 contracted workers. According to LG, those employees will be offered transition support and severance packages commensurate with their tenure with the company. No word has yet been shared about the future of the LG technical call center and service training center also located at the Huntsville campus.

In exiting solar, the company explained that the decision came due to increased material and logistics costs, as well as severe supply constraints. The company said it will now focus on energy storage systems and home energy management.

(Read: “LG exits solar module business“)

In November, LG announced a partnership with Sunverge to develop a residential virtual plant project with customers in Northern and Central California. The project is intended to explore ways in which intelligent and dynamic load control and solar/energy storage can be aggregated as dynamic multi-service and multi-asset VPPs to create value on both sides of the meter and help utilities transition to more resilient and flexible distribution grids.

In its latest financial results, LG reported a slight increase in revenue for the BS division despite the “sluggish performance” of its solar module business. However, the most recent Solar Market Intel Report, released by EnergySage, LG was shown to be the third-most quoted manufacturer in the US, trailing just REC and Panasonic. Moreover, Industry analyst Roth Capital Partners suggests that LG represents 14% of U.S. residential solar module supply, with data from Ohm Analytics supporting this claim and showing a roughly 13% market share. 

In transitioning to energy storage systems and home energy management, LG has made significant advancements in those fields in recent history. LG is the battery supplier for  Vistra’s Moss Landing Energy Storage Facility in California, providing more than 4,500 TR1300 battery racks for the installation.

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