EU Solar Manufacturing Law Stalls as Only Six States Apply Sustainability Rules

Europe’s flagship green industry law is falling short of its ambition to rebuild domestic solar manufacturing, with industry groups warning that slow and uneven rollout leaves the continent exposed to import dependence.

Since the start of 2026, just six EU member states have embedded the Net Zero Industry Act’s sustainability criteria into their public renewable energy auctions, according to a report by SolarPower Europe. The criteria are designed to favour products from non-dominant supply chains — a provision that in practice restricts Chinese-made equipment from qualifying.

Annette Ludwig, SolarPower Europe’s supply chain director, said the association sees the initiative heading in the right direction but described the pace as too slow. She identified the fragmented, patchwork approach taken by member states as the most serious concern, adding that it creates unnecessary complexity for market participants.

The European Solar Manufacturing Council echoed those concerns. ESMC’s Christoph Podewils noted that member states have been reluctant to apply the criteria, pointing to Italy’s auctions as a case where European products did not receive preference.

To address the inconsistency, the associations are calling for a public registry of national NZIA measures and asking policymakers to reflect their position on Made in Europe criteria. SolarPower Europe’s Dries Acke argued that demand-side support alone is insufficient, and both groups are pressing for the creation of a CleanTech Manufacturing Bank with funding directly tied to production.

Without faster action, SolarPower Europe and ESMC warn, the EU risks becoming primarily a destination for imported solar equipment rather than a competitive manufacturing base.

Source: PV-Tech