Elon Musk has never been shy about thinking big, and his latest ambition is no exception. Tesla is reportedly in advanced discussions to purchase roughly $2.9 billion worth of solar manufacturing equipment from a group of Chinese suppliers, according to people familiar with the matter. The goal is sweeping and straightforward on paper, getting 100 gigawatts of solar manufacturing capacity up and running on American soil before the end of 2028.
The potential deal centers on several Chinese companies, with Suzhou Maxwell Technologies emerging as one of the leading candidates. The firm, widely recognized as the world’s largest producer of screen-printing equipment used in solar cell manufacturing, has reportedly been seeking export approval from Chinese regulatory authorities to move forward. Other companies said to be in contention include Shenzhen S.C New Energy Technology and Laplace Renewable Energy Technology.
Tesla and the race to reshape American energy
The urgency behind the project is hard to miss. Musk has been vocal about his belief that solar power has the potential to meet the full electricity demands of the United States, including the rapidly growing appetite for energy driven by artificial intelligence data centers and an expanding manufacturing sector. Job listings on Tesla’s website have publicly pointed to the company’s intent to deploy solar manufacturing capacity from raw materials domestically within the next few years.
Some of the equipment involved, including screen-printing production lines, will require export clearance from Chinese regulators before it can leave the country. The timeline is tight. The Chinese suppliers reportedly received instructions to deliver the machinery before this coming autumn, with Texas understood to be the primary destination. While the majority of the solar capacity is expected to serve Tesla’s own energy needs, a portion is also intended to support power demands from SpaceX satellites.
The irony of building American solar with Chinese tools
There is a quiet tension running through this story that is difficult to ignore. The United States has spent years implementing tariffs and trade restrictions specifically designed to reduce its reliance on Chinese manufacturing, particularly in the clean energy space. Solar panels and cells imported from China and Southeast Asia face significant duties, a policy carried forward and expanded under successive administrations.
And yet, the machinery needed to build those panels domestically has remained largely exempt from tariffs. The Biden administration carved out that exception in 2024 after American solar manufacturers argued there was simply no viable domestic alternative for the equipment. The Trump administration has since extended that exemption, even as it has cut federal support for solar and wind projects more broadly.
The situation creates a peculiar dynamic where building an American solar supply chain currently requires buying the tools to do so from China. Tesla’s potential order illustrates that contradiction more vividly than almost anything else could.
A target that will test even Musk’s track record
Standing up 100 gigawatts of solar manufacturing in roughly two years would be an extraordinary achievement by any measure. For context, the entire United States had approximately 135 gigawatts of solar generating capacity as of 2024, out of a total national electricity generation capacity of around 1,300 gigawatts. What Tesla is describing would effectively double the country’s existing solar footprint, built from scratch, in a compressed window of time.
Musk has a well-documented history of setting timelines that inspire as much skepticism as excitement. His ambitions have a way of arriving later than promised, though they often do eventually arrive. Whether this solar push follows the same arc remains to be seen.
What is already clear is that Tesla’s supply chain remains deeply tied to China. The company currently relies on hundreds of Chinese suppliers to keep its manufacturing costs manageable, and that dependency has already created friction. Shipment disruptions tied to tariff escalations caused production setbacks for some Tesla vehicle lines last year, a preview of the complications that a project this size could face.
