# The Impact of the Build America, Buy America Act on the Solar Industry
The U.S. solar industry continues to evolve with new regulations that prioritize domestic manufacturing. The Build America, Buy America (BABA) Act, part of the Infrastructure Investment and Jobs Act of 2021, has introduced requirements that federal investments prioritize American-made products. This is a major shift that will impact solar companies, installers, and homeowners who are interested in solar panels for their homes.
### How the BABA Act Affects the Solar Industry
The BABA Act establishes a domestic content requirement for federally funded projects. Any infrastructure project receiving federal funding must now incorporate U.S.-manufactured products whenever possible. For solar companies, this means shifts in supply chains and more focus on domestic solar component production.
This initiative is designed to boost U.S. manufacturing, strengthen the supply chain, and create jobs. The Act could lead to new manufacturing facilities, increased investment in U.S.-based solar production, and a reduction in dependence on foreign solar components. However, it also presents challenges, especially for solar companies that previously relied on international suppliers.
### U.S. Solar Manufacturing Growth
To comply with the BABA Act, some solar companies have started ramping up
Original Article: https://pv-magazine-usa.com/2025/02/28/solaredge-u-s-made-inverters-are-now-build-america-buy-america-compliant/
