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Africa is becoming a solar manufacturing power

The continent will produce half of its solar panels by the early 2030s

June 18, 2026

Welcome to Green Rising – We are confident (from our daily reporting) that solar manufacturing is taking off in Africa. Substantial industrial capacity is moving onshore from Asia. If all announced and under-construction projects are completed, Africa will have more than 31 GW of solar manufacturing capacity per year in the early 2030s. That is more than the output today of South Korea, the world’s ninth-largest manufacturer.

For a continent that until recently produced almost none of the panels it installs, this represents a profound shift. If fully utilised, Africa’s solar manufacturing pipeline could support more than 30 million new electricity connections each year. Based on the current pipeline, the sector could create up to a million jobs when indirect employment in supply chains and logistics is included.

For many African countries, the best strategy has been to start with module assembly, building technical capacity and then expanding into more complex stages of production. The continent will gradually capture an ever larger share of the solar supply chain. Within a decade, it could host integrated manufacturing clusters producing everything from glass and wafers to finished modules. Several projects already signal a move toward higher-value production.

South African utility Eskom considers establishing a 1 GW vertically integrated solar manufacturing facility as the country seeks to capture more value from its fast-growing solar market. The move could help reduce import dependence and position South Africa alongside Morocco, Egypt and Ethiopia, which have made significant progress in solar industrialisation.

  • The timing of this move is strategic. South Africa has seen electricity demand shift off-grid, mainly to solar, undermining Eskom’s revenue. Manufacturing could help the utility tap this growing market and diversify income.

  • As Africa’s largest importer of solar equipment from China, with annual imports exceeding 3 GW, South Africa is well placed to localise production. Its mineral resources could further support vertical integration of the solar supply chain.

  • Our take: Successful solar manufacturing could spur production of batteries and inverters, helping Africa capture more value… Read more (2 min)

The finance house InfraCredit Nigeria is launching Africa’s first credit guarantee for a solar panel assembly plant, according to investment platform Energy Capital & Power. This aligns with Nigeria’s push to localise solar manufacturing and capture value from rising domestic demand. By lowering lender risk, it will help unlock capital for local production.

  • InfraCredit provides local currency guarantees to improve the credit quality of debt issued to finance infrastructure projects in Nigeria. It acts as a catalyst by attracting investment from pension funds, insurance firms and other long-term institutional investors.

  • This guarantee’s launch is timely, given the growing momentum to localise solar manufacturing in Africa. It could serve as the linchpin to catalyse and expand manufacturing across the continent.

  • Our take: Domestic assembly could cut logistics and import costs, making solar systems cheaper in the long term… Read more (2 min)

Egyptian firm Kemet has signed two agreements with Chinese companies worth $700 million to establish a 5 GW-per-year solar cell manufacturing facility and a 5 GWh battery energy storage factory. The deals support Egypt’s push to vertically localise its solar supply chain, helping the country capture more value domestically while accelerating its energy transition.

  • Africa’s solar manufacturing sector has received a boost following new US trade tariffs on China, as Chinese companies seek partnerships to relocate production to tariff-friendly countries.

  • North Africa, in particular, is attracting Chinese manufacturers, given geographic proximity and existing trade agreements providing access to European markets.

  • Our take: Localisation efforts are coming at the right time, giving Africa a chance to leapfrog outdated technologies… Read more (2 min)

Number of the week

… is the import tax reduction Tanzania announced for electric vehicles, dropping from 25% to 10%, effective from July. 

Network corner

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👉 Energy expert Dr. Lungile Mashele appointed to Volkswagen Group Africa board to focus on energy transition and cleaner mobility solutions

Top green jobs from…

EVENTS UPDATE 

📆 Attend the Sustainable Transportation Conference in Namibia (July 9)

📆 Join the World Energy Council event in Kenya (July 20) 

📆 Register for the Clean Energy Conference in Rwanda (August 6)

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