The company behind a $6.5bn (£4.2bn) solar panel manufacturing venture has said it plans to use its $1bn investment in Elon Musk’s SpaceX to bring manufacturing of solar panels to America.
Elon Musk has pledged to bring production of panels to the US by 2022.
Mr Musk told the Wall Street Journal he plans to manufacture solar panels in Michigan and New York, both in the Detroit area, and the company has hired Mr Musk’s son, Ty, to lead the solar panel plant.
“We have a lot of confidence that we can be there,” Mr Musk said in a statement on Tuesday.
The company, SolarCity, is the world’s largest installer of solar panel systems and the world has installed more than 10 million panels since 2011.
The plant’s solar panels will be produced in China and Japan, with the majority of the panels being produced in the US.
SolarCity is planning to manufacture about 20 million panels a year, according to the company’s website.
The solar panels can be used to power homes, commercial buildings and businesses, and Mr Musk has promised that Tesla’s electric vehicles, including the Model S, Model X and Model 3, will be made with the panels in mind.
Mr Trump has been accused of favouring foreign-owned solar companies at the expense of US manufacturing jobs.
Earlier this month, Tesla announced that it was laying off 1,000 workers at its Fremont, California, factory.
Tesla said in its annual report that its US solar manufacturing plans were “implemented in a manner that allows us to deliver a meaningful impact on our business”.
Mr Musk also told CNBC that Tesla is moving into new markets that are “not as dense as the United States”.
“We’re doing things that we don’t do for a long time, in the auto industry,” he said.
“So we’re really moving to Asia, China, the Middle East and Africa.”
SolarCity said it has invested $400m in SolarCity’s US solar project.
Elon Elon Musk is pictured in Los Angeles, California.
Photo: Reuters Elon Musk said Tesla would focus on the solar panels it produces in the United State.
“The first solar panel is made in California, which is where it’s going to be made, and then we move to Mexico, and China, and Europe,” he told CNBC.
“And then we’ll build more in America.”
Tesla is building solar panels on an assembly line in Reno, Nevada.
The electric vehicle maker said in January it had received more than 200 orders for its solar panels.