Africa wants more homegrown solar to boost self-reliance, but China’s shadow remains

Africa’s most powerful economies are racing to develop their own solar manufacturing capabilities, industry experts say, amid concerns that their reliance on Chinese imports could leave them vulnerable. Ethiopia, South Africa, Morocco and Nigeria are among the countries leading the charge to localize production of solar equipment, from modules to advanced systems.

Yet analysts caution that China is expected to maintain its dominant position in the global solar market, thanks to its massive exports of solar cells and other components.

China’s share of the renewable energy investment in Africa grew to $66 billion between 2010 and 2024, according to the think tank ODI Global. The country’s investments and related projects have been fueled by an excess of supply within the country itself.

South Africa’s energy giant, Eskom, is set to build a 1-gigawatt solar manufacturing facility to boost the value of its rapidly expanding solar market and to meet changing electricity needs. In Nigeria, solar panel production is expanding fast, with local assembly capacity growing from about 120 megawatts to around 300 megawatts in the past two years. Nigeria’s annual solar imports, mainly from China, have also nearly reached South Africa’s levels.

The surge in solar production on the continent is linked to the transformation of its power markets. The increasing use of rooftop and distributed solar systems in South Africa is cutting the demand for power on the national grid, which is squeezing utility revenues and prompting the search for diversification. South Africa is already the continent’s largest importer of solar equipment, buying more than 3 gigawatts annually, with the bulk of it coming from China.

Analysts argue that this demand makes South Africa one of the continent’s most promising markets for the local production of solar components.