A Valencian business alliance led by Marcos J. Lacruz, president of the Valencian association representing renewable energy employers, is fostering a solar panel factory to reduce reliance on imports from China. The group formed Silicon Valen to begin assembling solar sheets within a year, with plans to develop an integrated silicone production cycle across four plants over the medium term. Lacruz, who heads the company, notes that the initiative began with private equity support of six million euros.
The venture brings together the Navarro family, owners of the defunct Siliken solar panel company, photovoltaic park developer Manuel Argüelles, and Lacruz’s firm, NRG Investment, which has backed photovoltaics and wind parks. Siliken was a Valencian group focused on creating solutions for the renewable energy sector. The Navarro family, which once employed around 1,500 workers and had a presence across Spain, the United States, Italy, France, and Germany, faced collapse during the 2008 financial crisis. They have since invested 80 million euros in a silicon development facility for solar sheets, while Lacruz aims to leverage his sector knowledge to advance this next phase of manufacturing.
Europe faced a decade without photovoltaic module factories as competition from Chinese producers took hold. Carlos and Antonio Navarro lament that Germany ceded key technology to Asian manufacturers and that China used public funds to finance many of these ventures, capturing an estimated 95 percent of the world module market. A similar dynamic exists in microchip and electric vehicle battery manufacturing. The European Union is eager to reverse this pattern by supporting the creation of battery plants, microchip facilities, and projects like Silicon Valen, with public incentives designed to bolster local production. Brussels has signaled its intent to back initiatives that strengthen the European solar supply chain and reduce external dependence.
Lacruz emphasizes that the Ukraine conflict underscores the importance of reducing dependency on nations such as China during the expansion of renewable energy infrastructure. He notes that Spain once boasted a robust solar module manufacturing sector that disappeared after 2008, and he views Silicon Valen as a strategic effort to reclaim that capability. This effort aligns with broader European aims to secure critical energy technologies within the region rather than relying on imports alone.
Argüelles adds that Spain needs about five million photovoltaic modules annually to meet current renewable expansion targets. He warns that last year’s module prices rose by roughly 50 percent due to heightened demand from Chinese producers, arguing that such volatility is unsustainable and detrimental to long-term deployment plans. The focus is on stabilizing supply and reducing exposure to price spikes by reestablishing domestic production capabilities and diversifying supply chains.
Silicon Valen’s first factory is expected to employ about 50 people, with its exact site undisclosed for the time being. The founders envision three additional plants in the medium term to cover the full value chain. The goal is to establish four factories across Valencia, requiring approximately 72,000 square meters of land. The plan projects eventual employment of around 1,200 highly skilled professionals, including engineers and programmers, as operations scale up and the supply chain matures.
As part of its rollout, Silicon Valen will showcase its products at Intersolar Europe in Munich, a premier event for the solar industry. Lacruz stresses that the team has already validated the technology through its early project involvement, which he believes positions Silicon Valen to make a meaningful impact on the European solar landscape. The initiative reflects a broader trend toward rebuilding regional manufacturing capacity and fostering energy independence in Europe and North America, with a clear emphasis on innovation, workforce development, and strategic investment in local production capabilities.