U.S.-based photovoltaic module manufacturer SEG Solar has officially broken ground on a new 3GW ingot and wafer manufacturing facility in the Batang Regency of Central Java, Indonesia. This significant development, announced on Monday, December 15, 2025, marks the first phase of a broader expansion plan to establish 5GW of ingot and wafer production capacity in the region. The project is a critical component of SEG Solar’s strategy to create a vertically integrated, non-Foreign Entity of Concern (FEOC) supply chain to support the burgeoning U.S. solar market. The facility is located within the Grand Batang City industrial estate. In addition, it represents a strategic investment of approximately USD 80 million and is fully funded by SEG Solar. Production is slated to begin in the third quarter of 2026. It will further reinforce the company’s upstream manufacturing capabilities and enhancing the resilience of its global operations.
Strategic Vertical Integration
The new 3GW facility is pivotal to SEG Solar’s vision of a complete, end-to-end manufacturing ecosystem. By producing its own ingots and wafers, the company bridges the gap between raw material processing and its existing downstream operations. SEG Solar already operates a 2GW solar cell manufacturing plant in Indonesia. It was commissioned earlier this year, as well as a 2GW module assembly plant in Houston, Texas. The addition of this upstream capacity ensures that SEG Solar can oversee the entire production lifecycle. This is from ingots and wafers to cells and finished modules. This vertical integration is crucial for maintaining strict quality control and ensuring traceability. Additionally, meeting the rigorous compliance standards required for the U.S. market, particularly in light of evolving trade regulations.
SEG Solar Indonesia Ingot & Wafer Plant: Factsheet
Location: Batang Regency, Central Java, Indonesia (Grand Batang City)
Developer: SEG Solar
Facility Type: Ingot and Wafer Manufacturing Plant
Capacity: 3GW (Phase I of 5GW total plan)
Investment: ~USD 80 Million
Site Area: 50,000 square meters
Construction Start: December 2025
Production Start: Q3 2026
Strategic Goal: Establish a fully integrated, non-FEOC supply chain for the U.S. market.
Related Facilities:
2GW Solar Cell Plant (Indonesia, Operational)
2GW Module Assembly Plant (Houston, USA, Operational)
Supporting the U.S. Market and Local Economy
The primary output of the Indonesian facility will support SEG Solar’s module manufacturing operations in the United States, providing a stable and compliant source of core materials. Jun Zhuge, Founder and CEO of PT SEG Solar Manufaktur, emphasized the strategic importance of this project. He stated, “Developing upstream ingot and wafer capacity is essential to completing SEG’s integrated manufacturing system. With complementary production capabilities in the United States and Indonesia, SEG is positioned to deliver a fully traceable and non-FEOC supply chain. It meets current and upcoming requirements for the U.S. solar industry.” Beyond its global strategic value, the project generates significant economic benefits for Indonesia, creating thousands of jobs and fostering the development of a local renewable energy supply chain.
Expanding the SEG Indonesia PV Industrial Park
This groundbreaking is part of a larger initiative to develop the SEG Indonesia PV Industrial Park, one of the largest vertically integrated photovoltaic industrial hubs in Southeast Asia. The park spans over 40 hectares. It will eventually house facilities for the production of silicon ingots, wafers, cells, and modules. The total planned investment exceeds USD 500 million—a major private sector move complementing the US$600M World Bank funding for solar and wind projects in Indonesia. The industrial park is a comprehensive ecosystem, with SEG Solar planning to collaborate with other component suppliers—such as manufacturers of junction boxes, frames, and EVA films—to establish operations within the park. This collaborative approach aims to optimize the entire solar value chain within Indonesia, driving down costs and increasing efficiency for global markets.
