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Japan-Based Toyo to Add Solar Cell Manufacturing at Texas Photovoltaic Module Factory

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Japanese solar cell manufacturer Toyo (TOYO), will invest about $367 million to add a solar cell production facility beside its existing solar module plant in Houston, Texas, it announced on Monday.

Engineering, facility design and procurement planning have already begun and the start of pilot production is expected in early 2028, the company said.

Manufacturing capacity will be 1.5 gigawatts of panels per year and the company will expand headcount by about 400.

The company expects to achieve operational synergies by co-locating the existing and new facility, with savings on logistics and a shorter production cycle.

The heterojunction or HJT cell technology it will produce offers enhanced efficiency in the conversion of sunlight to energy versus older products, Toyo said, adding that it also performs better at higher temperatures.

The facility will be built in stages to observe local regulations and permitting timelines. Funding will be from internal cash flow and non-dilutive project financing with potential strategic partnerships and value-accretive equity financing, Toyo said.

CEO and Chairman Takahiko Onozuka said the investment takes forward the company's commitment to building an integrated onshore solar supply chain from polysilicon to completed panels.

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