Japanese company Toyo plans to build a 2-gigawatt solar cell factory in Hawassa, Ethiopia, amid concerns over new US tariffs on solar panels from four Southeast Asian countries, the media reported, citing Junsei Ryu, CEO of the company.
The main goal of the project, according to Ryu, is to meet the needs of the module facility to be built in the US. Nowadays, Toyo produces its solar products in Vietnam.
"Establishing this manufacturing plant is a key step in our strategic vision to diversify our supply chain and enhance our sourcing capabilities for solar solutions in the global market," Ryu said.
According to the report, the estimated investment for Toyo's project is about $60 million, and the new facility is expected to create up to 880 job vacancies. The plant is anticipated to start production in 2025.
The US imposed tariffs on solar equipment manufactured in four Asian countries - Malaysia, Vietnam, Thailand, and Cambodia. Manufacturers in these countries receive subsidies that hinder the promotion of American domestic production of green energy, the US solar market players reportedly claim.
In July, the Foundation of Sustainable Development Africa report highlighted the potential for millions of skilled jobs in sectors like renewable energy, e-mobility, construction, and manufacturing. The study focused on five key countries – the Democratic Republic of Congo, Ethiopia, Kenya, Nigeria, and South Africa – which are expected to account for over 20% of the continent's green job growth.