Key Highlights

  • Tesla pursues approximately $2.9 billion acquisition of solar production machinery from suppliers based in China
  • Suzhou Maxwell Technologies emerges as primary vendor candidate and has initiated Chinese export authorization process
  • Additional prospective vendors include Shenzhen S.C New Energy and Laplace Renewable Energy Technology
  • Machinery scheduled for autumn delivery with Texas-bound shipments anticipated
  • Musk aims to establish 100 GW domestic solar production capability by 2028’s conclusion

Tesla (TSLA) has entered negotiations to acquire approximately $2.9 billion in solar production machinery from suppliers in China, Reuters sources have revealed. This major equipment purchase aligns with Elon Musk’s ambitious vision to establish 100 gigawatts of solar manufacturing capability on American territory before 2028 ends.

Musk declared in January that solar energy possesses the potential to satisfy America’s complete electricity requirements — encompassing the expanding needs of AI data facilities. Internal job listings at Tesla explicitly outline the objective: 100 GW of “solar manufacturing from raw materials on American soil” within several years.


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The machinery being negotiated includes screen-printing production systems essential for solar cell fabrication. Certain components require authorization from China’s commerce ministry before international shipment becomes possible.

Suzhou Maxwell Technologies leads the race to secure this contract. This company holds the position as the globe’s premier manufacturer of screen-printing machinery for solar cell production and has commenced pursuing Chinese regulatory authorization.

Shenzhen S.C New Energy Technology and Laplace Renewable Energy Technology represent two additional Chinese corporations being considered. Share prices for all three companies surged beyond 7% following the Reuters disclosure.

Industry sources indicate the Chinese manufacturers received instructions to complete delivery by autumn. Multiple sources confirmed the machinery’s destination as Texas facilities.

Musk intends to dedicate the solar production capacity primarily to Tesla’s internal operational needs, while allocating a portion to power SpaceX satellites, according to informed individuals.

Foreign Technology Meets Domestic Production Goals

This transaction underscores a fundamental challenge within American manufacturing strategy. The nation seeks to diminish reliance on Chinese supply chains — yet reconstructing homegrown solar production capabilities continues to depend on purchasing equipment from Chinese manufacturers.

The Biden administration exempted solar manufacturing equipment from tariffs during 2024, responding to domestic solar producers who emphasized the absence of viable American alternatives. The Trump administration maintained this exemption.

Musk has voiced concerns regarding tariff policies, contending they create “artificially high” solar costs during a period of accelerating power demand. American electricity consumption reached historic peaks in 2025 and faces projected growth through 2027, according to Energy Information Administration data.

Tesla maintains relationships with roughly 400 China-based component suppliers to preserve competitive pricing, with 60 serving global operations including American manufacturing facilities. Previous year, Cybertruck and Semi production encountered disruptions when Chinese component deliveries halted following tariff increases.

Extraordinary Ambitions Meet Practical Challenges

Establishing 100 GW of solar manufacturing within two to three years represents a monumental industrial undertaking. To provide perspective, the United States maintained total electricity generation capacity around 1,300 GW during 2024, with solar contributing merely 135 GW to that figure.

Musk’s track record includes ambitious schedules that frequently extend beyond initial projections. Yet the magnitude of this prospective equipment purchase — valued at 20 billion yuan — indicates serious commitment beyond mere rhetoric.

Tesla, Suzhou Maxwell, Shenzhen S.C New Energy, Laplace Renewable Energy, and China’s commerce ministry each declined providing commentary when Reuters requested responses.