Hemlock Semiconductor and its parent company Corning Inc. are taking advantage of tax credits established by the Inflation Reduction Act and the CHIPS and Science Act to increase their involvement in the solar manufacturing market. Solar Energy World confirmed that in addition to increasing production of polysilicon for the solar market, companies in Hemlock, Michigan, will soon manufacture silicon ingots and wafers for solar panels.

Credit: Pruche

Hemlock has a long association with the domestic polysilicon market, once producing almost a quarter of the world’s polysilicon supply in the early 2010s, alongside fellow US producers REC Silicon and Wacker Chemie. The trio reduced their domestic polysilicon production around 2013 after China increased production and excluded them from the market. REC Silicon only recently rebooted its operations in Moses Lake, Washington, to make polysilicon for Qcells solar panels made in America.

In a Call for 2022 resultsWendell Weeks, Corning’s chairman and CEO, said Hemlock restarted its idle capacity for “buy-or-pay contracts for solar-grade polysilicon.”

“We believe Corning’s broader technical and manufacturing capabilities will prove highly relevant and help advance the renewable energy sector, and we see excellent growth potential in solar,” Weeks said.

Last week, the Ministry of Commerce announced had signed a preliminary memorandum of understanding with Hemlock to provide up to $325 million in CHIPS and Science Act funding to increase production of semiconductor-grade polysilicon, which would include polysilicon for the solar market . The funding will support the construction of a new facility on the existing Hemlock, Michigan campus.

This new facility is separate from a new $900 million manufacturing site announced in February. The Michigan Economic Development Corp. set aside nearly $110 million to allow Corning and its new subsidiary Solar Technology LLC to build a “solar component” manufacturing plant near the Hemlock Semiconductor site, creating more than 1,100 jobs. After the recent news of the Treasury Department that solar wafer manufacturing operations could qualify for the 25% 48D Advanced Manufacturing Investment Credit (CHIPS ITC), local news reported that Corning would receive 48D credits at its solar technology factory to produce wafers for the solar market.

Solar Energy World has contacted Corning, Hemlock and alleged partners, and has only received confirmation that a wafer factory is in the works. No details on size or timeline have been revealed.

There is currently only one wafer manufacturer in the United States close to being operational: Qcells in Georgia, which will use REC Silicon polysilicon to produce the country’s only silicon solar panel with a all-American supply chain. NorSun announced that it would build a wafer plant in Oklahomabut construction has not yet started. Corning’s wafer fab in Michigan would be the third planned wafer fab in the United States.