The newly released European Solar Supply Chain Map 2025, produced by Sinovoltaics, highlights the stark contrast currently defining the photovoltaic industry in Europe: while bold targets are being set, major manufacturers are shutting down production. Currently, Europe, the Mediterranean, and Turkey have a combined solar module production capacity of 21 GW, with a target of reaching 70 GW by 2030.

This increase is aligned with the strategic framework of the Clean Industrial Deal, launched by the European Commission in February 2025. The initiative proposes to mobilise EUR 100 billion to boost clean manufacturing, offering direct support to strategic industries such as solar photovoltaics. The plan includes state-backed guarantees, lower financing costs for long-term renewable energy contracts, support for grid component manufacturing, and the creation of a Critical Raw Materials Centre to coordinate strategic sourcing.

The new balance of solar power across the continent

According to the map, Turkey is the current epicentre of solar manufacturing in the region, with over 8 GW of installed capacity. Leading players include Kivanc, with 1.2 GW in module production and 5 GW in cell production, Sunart PV Enerji (300 MW), and HT Solar, which also exceeds 1 GW. Turkey has become a regional production hub with vertically integrated capacity.

Other countries are seeing new industrial activity emerge. Romania is hosting a 1.5 GW module project by SC Heliomat, and Elite Solar in Egypt plans to develop 8 GW of production, a move that strengthens North Africa’s role in the regional supply chain.

Yet, the same map documents a list of at least ten manufacturers that have ceased operations in the past 18 months:

• In France, RECOM Silia, Photowatt, and Systovi have all closed down.

• In Germany, Solarwatt shut its Dresden facility.

• In Belgium and Georgia, Belinus went bankrupt despite having announced a 5 GW factory.

• In the Netherlands, Innolane also went out of business.

• Austria’s Energetica was declared insolvent in December 2023.

• In Turkey, Gest Enerji, Suoz Energy Group, and Solar Turk closed their operations.

“The landscape reflects an industry under pressure from Asian competition, inflation in energy prices, and a lack of stable financial mechanisms for European manufacturers,” the Sinovoltaics report states.

The Clean Industrial Deal: Europe’s plan to reverse deindustrialisation

The Clean Industrial Deal presented by the European Commission aims to halt the erosion of industrial capacity in clean technologies. The plan seeks to mobilise EUR 100 billion with the support of the European Investment Bank. The solar sector is listed among the strategic priorities, along with batteries, electricity grids and hydrogen.

Rather than issuing new regulations, the Deal proposes to strengthen existing funding tools. It includes state guarantee schemes to reduce the cost of long-term energy supply contracts—known as power purchase agreements (PPAs)—for energy-intensive industries. These would be made available through public financial institutions.

In addition, the Commission plans to create a European Critical Raw Materials Centre, which would coordinate the joint procurement of key materials such as silicon, copper and rare earths. The objective is to reduce external dependencies while improving competitiveness.

In the Commission’s own words: “The EU must manufacture the key components of its green transition at home to secure both industrial leadership and strategic autonomy.”

Projections across the supply chain: from cells to silicon

The Sinovoltaics report provides projections for all major segments of the solar manufacturing value chain in Europe:

• Solar cell production capacity is expected to grow from 3.2 GW in 2025 to 55 GW in 2030.

• Ingot and wafer production is set to rise from 1.5 GW to 24 GW.

• Metallurgical-grade silicon (MGS) production is forecast to reach 126,700 metric tonnes by 2030, to meet the demand of upstream production stages.

An emblematic case is Meyer Burger, which recently halted its module manufacturing lines while maintaining its 500 MW solar cell plant in Switzerland, currently under financial restructuring discussions. The report notes that this facility is one of the few cell production sites still operating in the region.

Expanding production while restoring industrial resilience

The roadmap laid out by Sinovoltaics for 2030 is clear: Europe can rebuild and expand its solar manufacturing base if it succeeds in executing its industrial policy. With a strong push through the Clean Industrial Deal and new regional players emerging in Eastern Europe and the Mediterranean, the continent could gain strategic autonomy in key energy technologies.

However, the success of this transition will depend on the timely and consistent implementation of financial support, market incentives, and supply chain planning. Without structural changes, Europe risks setting ambitious targets that fail to materialise, while more manufacturers continue to shut down or relocate.