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Enphase Energy Begins Shipments of IQ Battery 5P with Higher Domestic Content to Meet New U.S. Federal Requirements

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Enphase Energy (NASDAQ: ENPH) has commenced shipments of its enhanced IQ Battery 5P with increased domestic content from U.S. manufacturing facilities. This strategic move aligns with new federal requirements mandating 45% U.S.-sourced materials for solar and battery products as of June 16, 2025, with thresholds increasing to 50% in 2026 and 55% in 2027.

The new "DOM" SKU batteries exceed current domestic content requirements and are future-proofed for upcoming threshold increases. The IQ Battery 5P features a 5 kWh capacity, pairs with IQ8 Microinverters, and includes smart monitoring capabilities through the Enphase App. This initiative supports American manufacturing jobs while ensuring customers maintain eligibility for federal tax incentives.

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Negative

  • Higher domestic content requirements may impact production costs
  • Compliance with new regulations could affect supply chain flexibility

News Market Reaction – ENPH

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On the day this news was published, ENPH declined 0.74%, reflecting a mild negative market reaction.

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FREMONT, Calif., July 17, 2025 (GLOBE NEWSWIRE) -- Enphase Energy, Inc. (NASDAQ: ENPH), a global energy technology company and the world's leading supplier of microinverter-based solar and battery systems, today announced initial shipments of the IQ® Battery 5P supplied from manufacturing facilities in the United States with higher domestic content than previous models. The higher domestic content batteries comply with the new requirement in the U.S. federal budget law, signed on July 4, 2025, which retroactively enforces a 45% U.S.-sourced materials threshold for solar and battery products starting June 16, 2025.

To remain eligible for key federal tax incentives, products must meet this threshold, which will increase to 50% in 2026 and 55% in 2027, where it will remain in effect at that level thereafter. The new IQ Battery 5P units with “DOM” SKUs (IQBATTERY-5P-1P-NA-DOM) are being built now to meet these higher standards — not just for today’s 45% requirement, but also for all expected future thresholds — thanks to the substantial use of U.S.-sourced materials. These batteries are helping support American jobs and manufacturing, and a more resilient domestic supply chain.

“Our customers consistently want Enphase for the seamless integration between their solar and storage systems,” said Joel McClure CEO of NexGen Solar, an installer of Enphase products in California. “The IQ Battery 5P's modular design allows us to right-size each installation, and the increased domestic content helps customers comply with evolving federal requirements.”

“Enphase continues to lead with reliable, high-performance energy storage solutions,” said Orlando Diaz, CEO of Planet Solar, an installer of Enphase products in Puerto Rico. “With the IQ Battery 5P now meeting the new federal domestic content requirements, our customers can benefit from lower costs on our offering with a product that’s built for resilience and long-term value.”

The IQ Battery 5P is a modular design with a 5 kWh capacity and can be paired with Enphase IQ8™ Microinverters to provide homeowners with reliable electricity to use whenever they need it. Homeowners can also use the Enphase® App to monitor performance and intelligently manage their battery systems, including the self-consumption feature to reduce the use of electricity from the grid.

“We’re pleased to begin U.S. shipments of the IQ Battery 5P with increased domestic content,” said Ken Fong, senior vice president and general manager of the Americas and APAC at Enphase Energy. “The IQ Battery 5P delivers top-tier performance, and now, with domestic content that meets the latest federal requirements, our installer partners are better positioned to enjoy the value of federal tax incentives, grow their businesses, and bring energy storage to more homes across the country.”

Watch a video about Enphase’s manufacturing process in Texas here. For more information about the IQ Battery 5P, please visit the Enphase website.

About Enphase Energy, Inc.

Enphase Energy, a global energy technology company based in Fremont, CA, is the world's leading supplier of microinverter-based solar and battery systems that enable people to harness the sun to make, use, save, and sell their own power — and control it all with a smart mobile app. The company revolutionized the solar industry with its microinverter-based technology and builds all-in-one solar, battery, and software solutions. Enphase has shipped approximately 81.5 million microinverters, and approximately 4.8 million Enphase-based systems have been deployed in over 160 countries. For more information, visit https://enphase.com/.

©2025 Enphase Energy, Inc. All rights reserved. Enphase Energy, Enphase, the “e” logo, IQ, IQ8, and certain other marks listed at https://enphase.com/trademark-usage-guidelines are trademarks or service marks of Enphase Energy, Inc. Other names are for informational purposes and may be trademarks of their respective owners.

Forward-Looking Statements

This press release may contain forward-looking statements, including statements related to the expected capabilities and performance of Enphase Energy’s technology and products, including safety, quality, and reliability; and ability of the IQ Battery 5P to maximize the value of federal tax incentives. These forward-looking statements are based on Enphase Energy’s current expectations and inherently involve significant risks and uncertainties. Actual results and the timing of events could differ materially from those contemplated by these forward-looking statements as a result of such risks and uncertainties including those risks described in more detail in Enphase Energy’s most recently filed Quarterly Report on Form 10-Q, Annual Report on Form 10-K, and other documents filed by Enphase Energy from time to time with the SEC. Enphase Energy undertakes no duty or obligation to update any forward-looking statements contained in this release as a result of new information, future events or changes in its expectations, except as required by law.

Contact:

Enphase Energy

press@enphaseenergy.com

This press release was published by a CLEAR® Verified individual.


FAQ

What are the new domestic content requirements for Enphase's IQ Battery 5P?

The IQ Battery 5P must contain 45% U.S.-sourced materials as of June 16, 2025, increasing to 50% in 2026 and 55% in 2027 to qualify for federal tax incentives.

What is the capacity of the new Enphase IQ Battery 5P?

The Enphase IQ Battery 5P features a 5 kWh capacity and can be paired with IQ8 Microinverters for home energy storage.

How can customers monitor their Enphase IQ Battery 5P performance?

Customers can use the Enphase App to monitor battery performance and manage their systems, including the self-consumption feature to reduce grid electricity usage.

What is the new SKU for the domestic content version of the IQ Battery 5P?

The new domestic content version of the IQ Battery 5P has the SKU IQBATTERY-5P-1P-NA-DOM.

How does the Enphase IQ Battery 5P benefit installers and customers?

The IQ Battery 5P offers modular design for customized installations, meets federal domestic content requirements for tax incentives, and provides reliable energy storage with smart monitoring capabilities.
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