The German solar module manufacturer Solarwatt will initially cease production in Dresden from the end of August. The company justifies the step by saying that production in Germany cannot be operated economically: “The aggressive cut-throat competition in the solar industry leaves us no other choice,” said Solarwatt boss Detlef Neuhaus.
However, the development and optimization of photovoltaic hardware will remain at the Dresden location. “If market conditions improve, we can quickly ramp up German production again,” said Neuhaus. 190 employees are affected by the decision, and as many of them as possible will be offered a job, for example as fitters, service employees or planners.
Saxony’s Energy and Climate Protection Minister Wolfram Günther said: “This is a low blow for the employees and their families and it is another black day for the Saxon and European solar industry and for the energy transition as a whole. Because we want the energy transition with technology made in Europe and not with technology from China that is sold to us at dumping prices.”
According to its own information, Solarwatt employs 750 people across Europe, including 650 in Germany. The company says that 80 percent of the solar modules that Solarwatt sells are manufactured in Asia. It now focuses primarily on local business, the planning and installation of solar systems.
German companies have been complaining for a long time about competition from cheap modules from China, and the German Solar Industry Association has been promoting a so-called “resilience bonus”. This means that solar power could be promoted more if a certain proportion of solar systems are manufactured in Europe. However, the government could not agree on this. At the end of March, the largest manufacturer producing in Germany, Meyer Burger, had already sealed the final end of its location in Freiberg, Saxony. The approximately 500 employees were laid off.