The Partnership: Strengthening the Solar Manufacturing Supply Chain
On March 4, 2025, Solx, a prominent player in the U.S. solar industry, announced an exclusive partnership with Origami Solar, a company known for producing high-strength steel frames for solar panels. Solx will integrate these steel frames into its production line at its new 1-Gigawatt solar module factory in Aguadilla, Puerto Rico. This collaboration marks a significant step toward reshoring solar manufacturing and ensuring domestic energy security.
The decision to use Origami Solar's steel frames comes at a time when global supply chains are facing disruptions due to geopolitical instability and fluctuating tariffs on imported steel and aluminum. By choosing a domestically produced, steel-based framing solution, Solx is positioning itself to not only overcome these challenges but also deliver products with increased durability and resilience, especially for regions prone to extreme weather conditions.
Why Steel Frames?
While aluminum frames have traditionally been used in solar module manufacturing, steel frames offer significant advantages, particularly for locations like Puerto Rico that are frequently exposed to high winds and severe weather events. Recent load testing data has confirmed that steel frames provide double the mechanical load rating compared to their aluminum counterparts, making them more suitable for withstanding extreme weather events, which are common in Puerto Rico and other coastal U.S. regions.
Solx's choice to use steel frames rather than aluminum stems from several factors:
• Enhanced Resilience: Steel frames are far more durable and resilient, ensuring that solar panels can endure hurricanes and high wind conditions, which are common in Puerto Rico and along the U.S. coastline.
• Cost Reduction: Steel frames can help reduce the overall costs of the solar installation, particularly in solar tracker mounting hardware, which becomes more affordable when using steel compared to aluminum.
• Domestic Supply Chain: With the looming threat of 25% tariffs on imported steel and aluminum, relying on domestically produced steel eliminates the risks and added costs associated with imported materials.
James Holmes, CEO of Solx, highlighted the importance of quality and durability in their mission to manufacture high-performance solar modules. "Origami Solar’s steel frames are fundamentally a better product," said Holmes, emphasizing their resilience against extreme weather and cost efficiency in the long term.
Reshoring and Job Creation: Supporting Domestic Manufacturing
As part of its commitment to reshoring, Solx’s decision to exclusively use Origami Solar's steel frames also supports the U.S. economy by fostering job creation and reducing dependency on imported materials. Origami Solar has recently established a high-speed automated production line in Arkansas, in collaboration with Priefert Steel and DAC Robotics, further strengthening the domestic supply chain for steel frames.
The partnership will provide significant economic benefits, including:
• Job Creation: The use of domestically produced materials supports job growth in the steel manufacturing sector, with Origami Solar being a key player in this initiative. With a 100% U.S.-based manufacturing capacity, the collaboration contributes to the creation of local jobs and bolsters the economy.
• Reduced Risk: The partnership helps mitigate the risks associated with tariffs and the instability of international trade. By sourcing materials locally, Solx and Origami Solar are minimizing the uncertainties brought on by geopolitical conflicts and the trade war with countries like China and Russia.
• Domestic Content Bonus: By using Origami's steel frames, Solx is contributing to domestic content, which is crucial for solar project developers looking to qualify for the 10% domestic content bonus under the Investment Tax Credit (ITC), helping them maximize incentives for renewable energy projects.
Implications of Rising Tariffs and Geopolitical Factors
The impending imposition of 25% tariffs on imported steel and aluminum has raised concerns among manufacturers who rely on these materials for the production of solar modules. For Solx, the timing of this decision is particularly crucial as it helps the company avoid the added costs and risks that would come with relying on imported materials.
As tariffs and geopolitical instability affect the supply chain, the decision to use domestic suppliers such as Origami Solar ensures that the company can continue to meet growing demand for solar energy without interruptions or price volatility. This strategic shift toward domestic sourcing aligns with broader efforts to reduce dependence on foreign resources and improve the overall resilience of the solar energy industry.
Puerto Rico’s Role in the U.S. Solar Industry
The establishment of the Solx manufacturing facility in Puerto Rico marks a significant milestone for the island, which is quickly becoming a key player in renewable energy production in the U.S. The factory will not only support domestic energy security but also bolster Puerto Rico’s position as a critical supplier to the growing solar energy sector in the U.S. mainland.
Solx's manufacturing facility is set to begin production in July 2025, with plans to supply high-performance, utility-scale solar modules that meet the increasing demand for clean power across the United States.
Key Takeaways:
• Solx Energy has partnered with Origami Solar to exclusively use their high-strength steel frames at a new 1-Gigawatt solar module factory in Aguadilla, Puerto Rico.
• Steel frames offer double the mechanical load rating compared to aluminum, making them more resilient to extreme weather, especially in regions like Puerto Rico.
• The partnership supports reshoring manufacturing in the U.S., reduces supply chain risks, and promotes domestic job creation.
• Origami Solar produces 100% U.S.-based steel frames, qualifying them for domestic content and contributing to the 10% domestic content bonus under the Investment Tax Credit (ITC).
• The decision to use domestic steel eliminates risks and costs associated with imported materials and tariffs, especially as 25% tariffs on foreign steel loom.
• Solx’s facility is poised to begin production in July 2025, positioning Puerto Rico as a crucial supplier to the North American solar industry.
