Anticipating significant growth in the U.S. solar energy market, Sharp Electronics Corporation, the U.S. sales and marketing subsidiary of Sharp Corporation, Osaka, Japan, today announced plans to establish a manufacturing facility for solar products in the U.S.

The new facility will be constructed at the Sharp Manufacturing Company of America (SMCA) manufacturing plant in Memphis, Tennessee, where production of a range of solar products for on-grid and off-grid markets in the U.S. will be produced beginning in the Spring of 2003. SMCA will assemble solar modules for residential, commercial and industrial installations.

"As the Co-Chairman of the bi-partisan House Renewable Energy and Energy Efficiency Caucus, it's exciting to see that Sharp is establishing a manufacturing facility for solar energy products right here in Tennessee," said U.S. Representative Zach Wamp (3rd Congressional District - Tennessee).

"The applications for solar energy are almost limitless, and Sharp is working to make solar energy more available here in the U.S. Sharp is not only creating more jobs in the Memphis area, they are trying to improve our quality of life by developing a cleaner energy source and reducing America's dependence on foreign energy sources," the congressman said.

U.S. Ready for Solar

"Solar is at the core of Sharp's next generation businesses and technologies," said Shintaro Hashimoto, Corporate Director and Group General Manager of Sharp Corporation's Solar Systems Group. "Sharp established a division to market solar products in the U.S. in May 2002 and will manufacture here because we believe the U.S. is ready to accept solar as an increasingly mainstream energy alternative," he said.

The market for solar energy in the U.S. is expected to undergo exponential growth over the next decade. In the last year alone, the U.S. experienced a 40-percent increase in solar energy use from 30 MW to 44 MW. According to the "Photovoltaic Industry Roadmap," a report accepted by the U.S. Department of Energy, the U.S. will experience a more than five-fold increase in the use of solar energy by the year 2010 to 250 MW annually. The 2010 projection represents enough solar energy to power over 80,000 homes. Today, approximately 10,000 U.S. homes use solar energy.

"Consistent with our corporate mission, Sharp is committed to developing innovative solar technologies and one-of-a-kind products that meet the energy demands of today's lifestyles while helping protect the environment for future generations," said Mr. Hashimoto.

Sharp Expands Global Leadership Position

According to the solar industry trade publication PV News, Sharp was the world?s leading manufacturer of solar cells in 2000 and 2001. This past July, Sharp increased its annual production capacity from 94 MW to 148 MW, the highest output level in the world. By the end of the 2002 fiscal (March 2003), Sharp will have increased manufacturing capacity to 200 MW and is forecasting a 50-percent increase in net sales for the 2002 fiscal over the previous fiscal. The Consumer Energy Center reports that the global market for solar energy is currently worth $2 billion annually and is expected to climb to $10 billion by 2010.

Makoto Takahashi, President of SMCA, stated that approximately 45 new jobs will be created by the time assembly of solar modules commences. Approximately 90 new jobs will be created by the end of 2003. The possibility exists for additional jobs to be created over the next several years in response to anticipated market expansion.

Unique Approach

In less than six months selling solar products in the U.S., Sharp is already on track to achieve a double-digit share of the U.S. solar energy market by the end of the company's 2002 fiscal. "In our product development, marketing and sales channel development and domestic manufacturing programs, Sharp is focused on achieving a position of market leadership in the U.S. in line with our stature as the world leader," said Ron Kenedi, General Manager of the Solar Systems Division of Sharp Electronics Corporation.

"Sharp brings an in-depth, customer-focused orientation to both product development and the marketing of solar energy that is unique to the industry. By Spring 2003, we will offer complete residential grid connected systems specifically designed for the U.S. market. This product launch will represent the first in a series of product offerings designed for the mainstream market, and we anticipate these products attracting large, new customer bases," he said.

In the meantime, the Department of Energy reports that solar power costs have declined 200-percent in the last three decades with costs today ranging from 10 to 40 cents per kilowatt-hour. "This downward trend offers tremendous opportunity to expand the use of solar energy in the U.S. and help lessen dependence on foreign oil," said Kenedi.