First Solar Inc. plans to build a new solar module manufacturing facility near its existing flagship plant in Perrysburg, Ohio. The 1.2 gigawatt factory is expected to create 500 new jobs in northwestern Ohio, and will produce the company’s advanced technology Series 6 thin film photovoltaic module.

According to company officials, the expansion plan calls for a 1 million square foot facility located in Lake Township, Ohio, a short distance from First Solar’s Perrysburg site, with construction expected to begin in mid-2018 and entering full production mode in late 2019 with an expected annualized capacity of 1.2GW.

The plan is contingent on confirmation of state and local incentive packages currently in negotiation, company officials noted.

With the current plant’s Series 6 manufacturing capacity of 600MW and the announced expansion, First Solar’s annualized U.S. manufacturing capacity for thin film PV solar modules will total 1.8 GW. First Solar is the nation’s largest manufacturer of PV modules.

President Donald Trump’s administration recently imposed 30 percent tariffs imposed on imported solar panels. According to a report by Reuters, “First Solar benefits from having a technology that is not subject to tariffs. Its panels are made from cadmium telluride, while the tariffs apply only to traditional silicon solar products.”

“Strong demand in the U.S. for advanced solar technology, along with recent changes in U.S. corporate tax policies, have encouraged our decision to grow First Solar’s U.S. production operations,” said Mike Koralewski, First Solar’s Senior Vice President of Global Manufacturing.

“State and local officials and JobsOhio have also worked with us to create a business-friendly environment that supported our objectives. These factors, combined with our own economies of scale in high tech manufacturing, make expanding U.S. operations an attractive, win-win opportunity,” he added.

Koralewski said the capital investment for the expansion will be approximately $400 million, with a workforce of approximately 500 associates and an annual payroll of approximately $30 million. He also indicated First Solar has options for potential further manufacturing expansion in the future, depending on sustained U.S. demand for advanced solar technology.

“Expanding our U.S. manufacturing is particularly exciting,” said Tymen de Jong, First Solar’s COO. “We originated in Ohio, and we’re proud to build on that history as we grow into the future.”

In 2017, the company invested $175 million into retooling the original Perrysburg plant for production of its new Series 6 product. This April, the facility re-started an idled Series 4 production line to meet continued demand for that product.