Nextracker Delivers First 100% Domestic Content Solar Trackers to U.S. Market

Rhea-AI Summary

Nextracker (NXT) has achieved a significant milestone by delivering the first 100% domestic content solar trackers in the U.S. market. The initial delivery is for SB Energy's Pelican's Jaw project, a 570 MW solar and 954 MWh storage facility under construction by SOLV Energy.

Since 2021, Nextracker has expanded its local manufacturing infrastructure to over 25 U.S. factories with 30 GW of annual capacity. This localization strategy aims to reduce lead times, enhance supply chain security, and provide superior performance and flexibility throughout project lifecycles. The company's domestic manufacturing initiative also supports the creation of U.S. jobs, with the solar industry currently supporting 279,000 positions nationwide.

Positive

• Achieved 100% domestic content value for solar trackers under the Inflation Reduction Act
• Expanded manufacturing to 25+ U.S. factories with 30 GW annual capacity
• Secured major contract with SB Energy's 570 MW Pelican's Jaw project
• Reduced lead times and improved supply chain security through local manufacturing

Negative

• None.

Insights

Manufacturing Operations Analyst

The achievement of 100% domestic content value for solar trackers is a significant operational milestone with substantial financial implications. This localization strategy, involving 25 U.S. factories with 30 GW annual capacity, positions Nextracker to capitalize on IRA tax incentives while mitigating supply chain risks. The 570 MW Pelican's Jaw project demonstrates immediate commercial validation of this strategy. The domestic manufacturing approach offers multiple operational advantages: reduced lead times, improved logistics and lower transportation costs. This infrastructure investment enhances margin potential through operational efficiencies and IRA benefits while reducing exposure to international supply chain disruptions and tariff risks.

Clean Energy Market Analyst

This development represents a pivotal shift in U.S. solar infrastructure manufacturing. The timing aligns perfectly with growing demand for domestic clean energy components, supported by IRA incentives. With solar becoming the leading source of new power generation and supporting 279,000 U.S. jobs, Nextracker's domestic manufacturing capability positions them to capture significant market share in the rapidly expanding utility-scale solar sector. The partnership with SB Energy for the Pelican's Jaw project, combining 570 MW solar and 954 MWh storage, showcases the scale of opportunities in the integrated renewable energy market. This positions Nextracker advantageously against competitors still relying on international supply chains.

Company Sets New Standard for American Manufacturing, Job Creation, and Supply Chain Resilience

FREMONT, Calif.--(BUSINESS WIRE)-- Nextracker (Nasdaq: NXT), a global leader in solar tracker technology, today announced it has shipped and delivered the industry’s first U.S.-manufactured solar trackers in the United States which are expected to achieve 100% domestic content value for solar trackers under the Inflation Reduction Act (IRA).¹ The first project to receive these domestic content trackers is SB Energy’s Pelican’s Jaw project. The 570 MW solar and 954 MWh storage project is currently under construction by SOLV Energy. This supply chain localization milestone reaffirms Nextracker’s industry leadership and commitment to American manufacturing and jobs, while providing operational excellence for customers and partners.

Nextracker Founder and CEO, Dan Shugar speaking at steel manufacturing plant opening. Critical steel components used in Nextracker's solar trackers are fabricated at this Las Vegas Unimacts facility. (Photo: Nextracker)

Nextracker began investing in local manufacturing infrastructure in 2021 to establish a secure supply chain following disruptions during the global pandemic. Together with its manufacturing partners, the company has now expanded or opened more than 25 U.S. factories with over 30 GW of annual capacity. Nextracker’s robust local supply chain significantly reduces lead times with top quality products, providing customers with superior performance, shipping logistics and flexibility throughout construction and the entire project lifecycle.

“Delivering the industry’s first trackers with 100% domestic content value is a huge milestone for our customers, our supply partners, and Nextracker,” said Dan Shugar, Nextracker founder and CEO. “It demonstrates our ability to ramp and scale operations that directly benefit our customers—and sets a new standard for local supply chain resilience and operational excellence. By systematically focusing our manufacturing partnerships close to our customer project sites, we secure the supply chain and provide superior on-time delivery and cost savings for project development and construction. We also significantly de-carbonize our products by incorporating clean steel manufactured in the United States.”

Abhijeet Sathe, Co-CEO, SB Energy, added, “SB Energy is proud to drive growth of domestic manufacturing for renewable energy through our projects. Our Pelican's Jaw project will be the first to utilize Nextracker’s 100% U.S. domestic content solar trackers. We applaud Nextracker for their leadership in creating a robust U.S. supply chain to support our projects with greater supply security and create high paying, domestic manufacturing jobs.”

“I attended Nextracker’s manufacturing plant dedications in Texas, Pittsburgh and Las Vegas, where U.S. workers are building high quality solar products that will help power renewable energy projects across the country,” said George Hershman, CEO of SOLV Energy. “Nextracker will supply the first 100% U.S. domestic content trackers to Pelican’s Jaw, a 570 MW solar and 954 MWh storage project that SOLV is building and operating for SB Energy. Their leadership in domestic manufacturing supports shorter lead time, on-time delivery, and a smoother installation process for our project teams and client-partners.”

Solar power has become the leading source of new power generation, creating well-paid jobs both in the United States and globally according to the International Energy Agency. The American Clean Power Association reports that, as of 2023, the U.S. solar industry supports 279,000 jobs, driving significant economic growth in states like Arizona, California, Florida, Pennsylvania, Tennessee, and Texas.

To request a quote or learn more about Nextracker’s domestic content capability or our NX Horizon™ Low Carbon tracker offering, please contact insidesales@nextracker.com.

You can also learn more about Nextracker’s local manufacturing and domestic content initiatives by visiting our U.S. manufacturing landing page.

About Nextracker

Nextracker is a leading provider of intelligent, integrated solar trackers, foundations, and software solutions used in ground-mounted utility-scale and distributed generation solar projects around the world. Our products enable solar PV power plants to follow the sun’s movement across the sky and optimize plant performance. With power plants operating in more than forty countries worldwide, Nextracker offers solar tracker technologies that increase energy production while reducing costs for significant plant ROI. For more information, please visit Nextracker.com.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to Nextracker’s expansion of our U.S. manufacturing and production volumes, and statements related to Nextracker’s products satisfying 100% domestic content value under the U.S. Inflation Reduction Act of 2022 (“IRA”) and related guidance and regulations promulgated by the U.S. Treasury Department. These forward-looking statements are based on various assumptions and on the current expectations of Nextracker’s management, including the domestic content requirements, and Nextracker’s interpretation of such requirements, under IRA and related rules and regulations. These statements involve risks and uncertainties that could cause the actual results to differ materially from those anticipated by these forward-looking statements, including risks and uncertainties regarding the interpretation of applicable domestic content requirements, the modification, reduction, elimination or expiration of government incentives contained in IRA, and other risks that are described under “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Nextracker’s most recent Quarterly Report on Form 10-Q, Annual Report on Form 10-K and other documents that Nextracker has filed or will file with the Securities and Exchange Commission. There may be additional risks that Nextracker is not aware of or that Nextracker currently believes are immaterial that could also cause actual results to differ from the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements. Nextracker assumes no obligation to update these forward-looking statements.

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1} As provided by the May 2024 U.S. Department of Treasury guidance with simplified safe harbor domestic content calculation tables.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241210396428/en/

Media Contact

Brandy Lee

Corporate Communications

+1.408.930.6186

blee@nextracker.com

Source: Nextracker

FAQ

What is the capacity of Nextracker's (NXT) first domestic content solar tracker project?

The first project, SB Energy's Pelican's Jaw, has a capacity of 570 MW solar and 954 MWh storage.

How many U.S. factories does Nextracker (NXT) currently operate?

Nextracker has expanded or opened more than 25 U.S. factories with over 30 GW of annual capacity.

When did Nextracker (NXT) begin investing in local manufacturing infrastructure?

Nextracker began investing in local manufacturing infrastructure in 2021 following global pandemic disruptions.

What is the significance of Nextracker's (NXT) 100% domestic content achievement?

It's the first in the industry to achieve 100% domestic content value for solar trackers under the Inflation Reduction Act, setting a new standard for American manufacturing.