Freyr has finalized the acquisition of Trina Solar’s 5GW solar module manufacturing facility in Wilmer, Texas, marking a strategic pivot from its European battery production roots to a U.S.-focused solar energy business. The $340 million deal, first announced in November, establishes Freyr as a player in the U.S. clean energy market.
Key Details of the Acquisition
- Facility Details: The Wilmer, Texas, facility has a 5GW production capacity for solar modules.
- Deal Value: $340 million, with the transaction completed on December 24, 2024.
- Strategic Transition: Freyr shifts from its original focus on battery manufacturing in Europe and the U.S. to prioritize solar energy in the American market.
Context and Industry Implications
- Tax Credit Concerns: Michael Parr, CEO of the Ultra Low Carbon Solar Alliance, noted on LinkedIn that Trina Solar’s divestment reflects concerns about potential restrictions on Chinese companies’ access to the U.S. 45X manufacturing tax credit.
- Challenges in Europe: Freyr has faced significant hurdles in launching battery production in Europe, leading to a shift in its business strategy.
Significance for Freyr
The acquisition provides Freyr with an operational foothold in the U.S. clean energy sector, enabling it to capitalize on growing demand for solar energy. The transition signals the company’s focus on leveraging opportunities in the rapidly expanding U.S. renewable energy market.
With this move, Freyr strengthens its position as a solar energy manufacturer, leaving behind its earlier challenges in European battery production.
