Canadian Solar plans to build an $800-million solar photovoltaic cell manufacturing plant in Jeffersonville, Ind.

The plant will be based at the River Ridge Commerce Center. Jeffersonville is part of suburban Louisville, Ky.

“Establishing this factory is a key milestone that will enable us to better serve our U.S. customers with the most advanced technology in the industry,” said Thomas Koerner, Canadian Solar’s senior vice-president, in a news release. “This is the second of the anticipated long-term investments we expect to make in the U.S. as we think strategically about a local, sustainable and clean energy supply chain and to fullfill the long-term requirements of the local-content rules of the recently established [Inflation Reduction Act].”

Production is expected to start by year-end 2025. The facility will produce PV cells with an annual output of five gigawatts, equivalent to approximately 20,000 high-power modules per day.

Guelph, Ont.-based Canadian Solar said the cells produced in Jeffersonville will be used at the company’s five-gigawatt-module assembly plant in Mesquite, Texas.