SMA opens 60 GW inverter factory for high-power applications in Germany

SMA is thinking big. On Sept. 17, the German manufacturer of PV inverters and storage solutions inaugurated its new “Gigawatt Factory” in Niestetal, near Kassel, Germany.

The facility has an annual production capacity of more than 60 GW. It covers 46,000 m2, including a building footprint of 20,500 m2, and represents an investment of approximately €80 million ($91.8 million).

“What makes this factory unique is that we have brought the full integration of medium-voltage products in-house, whereas this step is traditionally handled by subcontractors,” said Christoph Zopf, head of production and operations at SMA.

Inside the new facility, Zopf highlighted automated guided vehicles and lifting systems capable of transporting and hoisting 40-foot containers weighing up to 40 metric tons. SMA said the automation will enable it to scale production rapidly while maintaining flexibility.

Full integration of the Sunny Central Flex

The factory produces Sunny Central central inverters with power ratings ranging from 2.6 MW to 5 MW, as well as Sunny Highpower Peak3 string inverters with capacities of up to 180 kW.

It also manufactures the Sunny Central Flex, a modular power conversion solution housed in a 40-foot container.

The system combines several functions in a single unit, including DC-AC conversion, DC-DC conversion, medium-voltage transformation and switchgear. It offers up to 7.36 MW of DC-AC conversion capacity and 6 MW of DC-DC conversion capacity. The system also uses silicon carbide semiconductors to improve efficiency.

The equipment is designed for utility-scale PV plants, battery energy storage systems and hybrid solar-plus-storage projects. It can also be used in hydrogen production through electrolysis and in applications requiring grid-forming capabilities.

The factory currently operates two shifts, with 50 to 60 employees working on the production lines alongside support staff. SMA expects approximately 200 employees to be directly involved in production when the facility reaches full capacity next year.

A factory designed to scale

Over the past two years, SMA has shifted its focus toward large-scale energy infrastructure and adapted its product portfolio accordingly. The company designed the Gigawatt Factory to support this expansion, with advanced automation and a production setup that enables multiple product families to be manufactured on the same lines.

The Gigawatt Factory was designed to accommodate higher production volumes through increased automation and enhanced quality control. New KUKA robots and other automated systems perform assembly and screwdriving operations, as well as critical production steps involving silicon carbide semiconductors.

SMA also designed the production lines to be as flexible as possible.

“We currently produce DC-AC power blocks, and in the future, we will also manufacture DC-DC power systems on the same line for hybrid PV and storage solutions, as well as power-to-gas applications,” said Zopf.

Rather than dedicating each line to a specific product, SMA plans to adapt production rapidly in response to changes in demand.

Meeting the needs of utility-scale installations

The factory opened as electrification continues to advance across industry, transport and digital infrastructure.

“The challenge is no longer just about producing more renewable energy,” said Florian Bechtold, executive vice president of large-scale and project solutions at SMA. “It is increasingly about building and operating the infrastructure needed to integrate that renewable energy, stabilize grids and ensure a secure, affordable energy supply.”

SMA aims to capitalize on the growth of utility-scale projects combining PV, storage and electrical infrastructure. The new factory will provide the industrial capacity needed to support increasingly large and complex projects.

European policy favors local manufacturers

The Gigawatt Factory has opened amid tightening European requirements for electrical equipment and infrastructure security. The European Union is seeking to reduce the risks associated with relying on suppliers from non-EU countries for critical energy infrastructure.

SMA said the shift could create additional business opportunities. Some customers are already asking how they can replace Chinese technology and migrate to SMA solutions, according to the company. However, SMA said it is too early to assess the potential effect of regulatory changes on sales.

European production capacity remains a central issue.

“We have 60 GW of capacity here,” Bechtold told pv magazine. “If we include other manufacturers in Europe, we reach a total capacity of around 100 GW – more than enough to cover the European market.”

SMA also highlighted the diversification of its supply chain. Bechtold said more than 90% of the company’s components come from Europe and Japan. Components sourced from China account for only 2% to 4% of those used in its utility-scale inverters, according to Euronext Markets. SMA therefore considers itself relatively insulated from potential supply disruptions caused by retaliatory measures.