Turkish Steel Giant Builds Its Own 261MW Solar PV: Global Industrial Decarbonization Accelerates and Opportunities for China's PV Manufacturing

A New Paradigm for Industrial Decarbonization: Rooftop Solar on Steel Plants

In July 2026, Turkish steelmaker Tosyali announced a loan to build a 261 MW captive solar photovoltaic plant. This is one of the largest industrial self-use solar projects in the global steel industry in recent years, signaling that the energy transition in heavy industry is moving from "pilot" to "mainstream."

For China's photovoltaic manufacturing sector, this event is not an isolated piece of overseas news, but a signal worth exploring deeply in the context of global supply chain restructuring: when high-energy-consuming industries like steel begin to embrace distributed solar on a large scale, the export logic for Chinese solar modules is evolving from "power plant project-driven" to "industrial user-driven."

Hard Constraints on Steel Decarbonization and the Economics of Solar

The steel industry accounts for about 7% of global carbon emissions, making it one of the most difficult sectors to decarbonize. Traditional blast furnace processes rely on coke, and while electric arc furnace short-cycle processes can reduce emissions, they have a high share of electricity costs. Against this backdrop, building captive solar plants has become a pragmatic choice for steel companies to lower electricity costs and hedge against carbon tax pressures.

Tosyali's 261 MW project is expected to cover part of its electricity demand, significantly reducing purchased electricity and carbon emissions. Although the structure of the loan has not been disclosed, similar projects typically receive favorable interest rates from international development banks or green financing institutions, reflecting the growing preference of capital for industrial green projects.

This trend is particularly evident in Europe, the Middle East, and North Africa. Turkey, as a major steel producer connecting Europe and Asia (with crude steel production of approximately 40 million tons in 2025), often sees its leading companies' moves set an example.

China's Solar Manufacturing: From "Selling to Power Stations" to "Selling to Factories"

Last year, China's solar industry exported over 240 GW of modules, with approximately 30% flowing to industrial users (e.g., factory rooftops, captive power plants). As high-energy-consuming industries like steel, chemicals, and aluminum accelerate the deployment of self-use solar, it is expected that by 2030, industrial self-use solar will account for over 25% of global new solar installations.

For Chinese solar companies, this means new market segmentation:

• Traditional market: Large-scale ground-mounted and distributed power stations, highly competitive and price-sensitive.
• High-value market: Industrial user self-use projects, which demand higher module conversion efficiency, reliability, and long-term warranty, and are willing to pay a certain premium.
• Supporting services: Including financing solutions, operation and maintenance management, and energy management; Chinese manufacturers can add value through a "modules + services" model.

Although the Tosyali project is located in Turkey, its core equipment like modules and inverters most likely come from Chinese suppliers. Currently, about 60% of Turkey's solar module imports come from China. The country added about 3 GW of new solar capacity in 2025, with the share of industrial self-use rising steadily.

The Mirror of China's Steel Industry: Dual Drivers of Domestic Demand and ExportsNow, let’s shift our focus back to China. The Chinese steel industry is also accelerating the deployment of self-consumed solar photovoltaic (PV) systems. Leading enterprises such as Baowu Group, HBIS Group, and Ansteel have already planned or are constructing GW-scale distributed PV projects. By 2025, China’s steel industry had installed over 10 GW of captive PV capacity, ranking first globally.

This has created an interesting "dual circulation" pattern:

• Internal circulation: Chinese steel enterprises use domestically produced PV equipment to reduce electricity costs and enhance the green competitiveness of their products.
• External circulation: Chinese PV equipment is exported to steel enterprises in countries like Turkey, helping them achieve carbon reduction targets.

The two circulations reinforce each other, deeply embedding China’s PV manufacturing industry in the global steel industry’s decarbonization process. At the same time, Chinese PV companies are learning from the scenario-specific needs of steel plants—such as anti-corrosion coatings, high-mechanical-strength modules, and intelligent operation and maintenance systems. These experiences, in turn, strengthen their competitiveness in the global industrial market.

Supply Chain Observation: Capacity Export vs. Localization Game

It is worth noting that Turkey is trying to reduce its dependence on imported PV modules through localization policies. In 2025, Turkey imposed additional tariffs on PV modules and launched a local production incentive plan. However, Chinese PV companies have already participated through technology cooperation, brand licensing, or joint venture factories.

For example, one of China’s first-tier module manufacturers has established a joint venture factory in Turkey with an annual capacity of 2 GW, mainly supplying the Middle Eastern and European markets. Whether the Tosyali project will use products from this joint venture factory will serve as a window to observe the effectiveness of Chinese PV’s “localization” strategy.

Long-Term Outlook: Green Energy for Industry Becomes a Second Growth Curve

Over a longer horizon, the electrification of global industry and the replacement of fossil fuels with renewable energy will spur trillions of dollars in investment. The International Energy Agency (IEA) predicts that by 2050, 70% of industrial electricity consumption will come from renewable sources.

For China’s PV manufacturing industry, this means:

1. Upgraded export structure: shifting from exporting components to exporting “systems + services + standards.” 2. Diversified customer base: reducing dependence on traditional power plant developers and increasing direct engagement with multinational industrial enterprises. 3. Deepened technological competition: industrial scenarios demand more urgently high-efficiency bifacial modules, BIPV, and integrated solar-plus-storage solutions.

The 261 MW Tosyali project is just the beginning. When industries such as steel, cement, and chemicals worldwide adopt PV as a “standard configuration,” the depth and resilience of China’s supply chain will become a key variable determining the pace of global industrial decarbonization.

Data sources: Renewables Now report (July 13, 2026); China Photovoltaic Industry Association Annual Report; IEA World Energy Outlook.