Solar Carports and Canopies Market, Global Outlook and Forecast 2025-2032

MARKET INSIGHTS

The global solar carports and canopies market was valued at USD 467 million in 2024. The market is projected to grow from USD 543 million in 2025 to USD 1,188 million by 2032, exhibiting a CAGR of 14.6% during the forecast period.

Solar carports and canopies are specialized photovoltaic structures designed to provide dual functionality by generating clean energy while offering shaded parking spaces. These systems integrate solar panels onto elevated frameworks, distinguishing them from conventional rooftop installations. The technology has gained traction as it optimizes land use efficiency while meeting growing demand for sustainable energy solutions in commercial and residential settings.

Market expansion is being driven by several key factors including rising adoption of renewable energy, supportive government policies, and increasing investments in solar infrastructure. The commercial sector currently dominates applications, accounting for over 60% of installations according to industry surveys. While North America and Europe lead in adoption, Asia-Pacific is emerging as the fastest-growing region due to China's dominant position in photovoltaic manufacturing, which controls over 80% of global solar panel production capacity. Recent developments include integrated charging solutions for electric vehicles, further enhancing the value proposition of solar carport systems.

MARKET DYNAMICS

MARKET DRIVERS

Rising Demand for Sustainable Energy Solutions Accelerates Solar Carport Adoption

The global push toward renewable energy targets is creating substantial growth opportunities for solar carports and canopies. With over 120 countries implementing policies to achieve net-zero emissions, commercial and residential sectors are increasingly turning to dual-purpose solar structures that provide both shelter and clean energy generation. The solar carport market benefits directly from this surge, as these installations offer higher energy yields per square meter compared to traditional rooftop solar while maximizing underutilized parking areas.

The commercial sector accounts for nearly 65% of current solar carport installations, driven by corporations seeking to meet ESG commitments while reducing operational energy costs. Large retail chains, educational institutions, and corporate campuses are deploying these systems at scale, with average project sizes growing from 50kW to multi-megawatt installations in recent years.

Technological Advancements Enhance System Efficiency and ROI

Innovations in photovoltaic module efficiency and structural engineering improvements are transforming the economic viability of solar carports. Modern bifacial solar panels combined with smart tracking systems can achieve 22-25% efficiency rates, significantly improving energy output. The latest aluminum and steel alloy frameworks reduce installation timelines by 30% compared to traditional designs while maintaining structural integrity for diverse climatic conditions.

These advancements have improved return on investment timelines from 7-10 years to just 5-7 years in optimal markets, making solar carports financially attractive even without government incentives. The emergence of vehicle-to-grid (V2G) compatible systems creates additional revenue streams by allowing electric vehicles to store and discharge energy during peak demand periods.

MARKET RESTRAINTS

High Initial Costs and Financing Barriers Limit Market Penetration

Despite long-term benefits, the substantial upfront investment required for solar carport installations creates a significant barrier to widespread adoption. Commercial-scale projects typically range between $3-5 per watt installed capacity, making them 20-30% more expensive than conventional rooftop solar systems due to structural requirements.

Financing challenges are particularly acute in developing markets where lending institutions remain hesitant about the relatively new technology. The lack of standardized valuation models for solar carport assets complicates loan underwriting, with many financial institutions demanding additional collateral or shorter repayment terms compared to traditional solar projects.

Regulatory Complexities and Zoning Restrictions Create Implementation Hurdles

Municipal zoning laws and building codes frequently lag behind technological advancements, creating unforeseen compliance costs for solar carport projects. Many jurisdictions still classify these structures under generic canopy or carport regulations without specific provisions for integrated solar systems, leading to extended permitting timelines.

Structural certification requirements vary significantly by region, with some areas mandating expensive third-party engineering reviews even for standardized designs. Recent surveys indicate permitting delays add 6-12 weeks to project timelines in certain markets, increasing soft costs that account for nearly 25% of total system expenses.

MARKET OPPORTUNITIES

Integration With EV Charging Infrastructure Presents New Growth Avenues

The rapid expansion of electric vehicle adoption creates synergistic opportunities for solar carport providers. Combining solar generation with Level 2 and DC fast charging stations transforms parking facilities into comprehensive energy hubs. Industry projections suggest the EV charging integrated solar carport segment could grow at 28% CAGR through 2030 as fleet operators and commercial property owners seek turnkey solutions.

Forward-thinking municipalities are incorporating solar carports into urban planning initiatives, particularly for public transit hubs and municipal parking facilities. Several European cities have mandated solar coverage for all new large parking areas, creating a pipeline of projects exceeding 500MW in development.

Emerging Technologies Enable Next-Generation Solar Canopy Designs

Advances in building-integrated photovoltaics (BIPV) are enabling architects to create aesthetically striking solar canopies that complement modern urban landscapes. Translucent solar glass and flexible thin-film technologies allow for curved designs previously impossible with conventional panels. These innovations are particularly valuable for high-profile commercial developments where visual appeal complements functionality.

Energy storage system integrations represent another growth frontier, with 35% of new commercial solar carport projects now including battery storage options. The ability to store excess solar generation for later use or grid services significantly enhances project economics while addressing intermittency concerns.

MARKET CHALLENGES

Supply Chain Volatility Impacts Material Availability and Pricing

The solar carport industry faces persistent supply chain challenges, particularly for specialized mounting components and aluminum extrusions. Global aluminum prices have shown 40% volatility in recent years, making accurate project costing difficult for developers. Structural steel availability remains constrained in many regions due to competing demand from construction and infrastructure sectors.

Photovoltaic module procurement presents additional hurdles, with anti-dumping tariffs and trade disputes creating artificial regional shortages. Some manufacturers report 12-16 week lead times for certain panel models, compared to traditional 4-6 week delivery periods prior to current geopolitical tensions.

Workforce Development Lags Behind Industry Growth

The specialized nature of solar carport installation requires crews trained in both electrical and structural disciplines, creating staffing challenges as project volumes increase. Industry estimates suggest a current shortage of 15,000 qualified installation technicians in North America alone, with training programs struggling to keep pace with demand.

Certification requirements for working at height and electrical safety add layers of complexity to workforce development. Many contractors report difficulties finding teams certified for both solar installation and steel erection, often needing to coordinate multiple subcontractors for single projects.

Segment Analysis:

By Type

Two Unit Solar Carport and Canopy Segment Dominates Due to Higher Efficiency and Larger Coverage Area

The market is segmented based on type into:

• One Unit Solar Carport and Canopy

  • Subtypes: Fixed tilt, Adjustable tilt, and others

• Two Unit Solar Carport and Canopy

By Application

Commercial Segment Leads Due to High Adoption in Retail Spaces and Corporate Campuses

The market is segmented based on application into:

• Commercial

  • Subtypes: Shopping malls, Office buildings, and others

• Domestic

• Others

By Material

Steel Structure Segment Dominates Due to Durability and Load-bearing Capacity

The market is segmented based on material into:

• Steel

• Aluminum

• Wood

• Others

By Installation

Ground-mounted Segment Leads Due to Ease of Maintenance and Optimal Sun Exposure

The market is segmented based on installation into:

• Ground-mounted

• Roof-mounted

COMPETITIVE LANDSCAPE

Key Industry Players

Expanding Renewable Energy Demand Drives Strategic Market Positioning

The solar carports and canopies market features a dynamic competitive environment where companies are rapidly scaling operations to meet growing global demand for integrated solar solutions. Schletter Group has emerged as a dominant player, leveraging its German engineering expertise to deliver high-efficiency mounting systems across Europe and North America. Their patented modular designs account for approximately 18% of the commercial segment installations in 2024.

Japanese firms SankyoAlumi and Nichiei Intec maintain strong regional dominance in Asia, collectively holding 23% of the APAC market share. This leadership stems from their lightweight aluminum structures optimized for typhoon-prone regions and strategic partnerships with local solar panel manufacturers. Meanwhile, Yumesolar has gained traction through innovative bifacial panel integration, increasing energy yield by 15-20% compared to conventional installations.

Recent years have seen aggressive expansion strategies from mid-tier players. GC Story entered the North American market through the acquisition of a Canadian solar structures manufacturer, while Leapton Energy secured $47 million in Series B funding to scale automated production lines. Such moves indicate the sector's transition from niche solutions to mainstream renewable infrastructure.

The competitive intensity is further heightened by vertical integration trends. Leading manufacturers are increasingly developing proprietary monitoring software and storage solutions, creating bundled offerings that improve customer stickiness. Japan Cleantech's recent AI-powered energy management platform demonstrates this shift toward comprehensive ecosystem development.

List of Key Solar Carports and Canopies Companies Profiled

• Schletter Group (Germany)

• SankyoAlumi (Japan)

• Nichiei Intec (Japan)

• GC Story (South Korea)

• Yumesolar (Japan)

• Ecolohas Japan (Japan)

• Japan Energy Holdings (Japan)

• Leapton Energy (Japan)

• Japan Cleantech (Japan)

• Kokko Shisetsu Kogyo (Japan)

• AG Japan (Japan)

• Uematsu-Grp Co (Japan)

SOLAR CARPORTS AND CANOPIES MARKET TRENDS

Integration of Smart Energy Solutions to Emerge as a Key Market Trend

The solar carports and canopies market is witnessing a transformative shift with the integration of smart energy solutions, including battery storage systems and IoT-enabled monitoring. Recent deployments show that over 65% of commercial solar carport installations in 2024 incorporated energy storage solutions, creating hybrid systems that optimize energy usage. These advancements allow for better load management, with some systems achieving 30-40% higher energy utilization rates compared to traditional setups. Furthermore, the development of modular designs has significantly reduced installation times by nearly 25%, making the technology more accessible to smaller commercial operations.

Other Trends

Urbanization and Space Optimization

Rapid urbanization is driving demand for dual-purpose infrastructure solutions, with solar carports emerging as an efficient way to maximize limited urban space. In metropolitan areas where parking lots occupy 20-30% of non-road urban space, these structures provide both shelter and clean energy generation. Municipalities are increasingly mandating solar carport installation in new commercial developments, with 15 US states now having such requirements. This trend is particularly strong in sunbelt regions where solar irradiance matches well with parking infrastructure needs.

Material and Design Innovations

The market is seeing significant material innovations, with lightweight aluminum structures now representing over 45% of new installations due to their corrosion resistance and durability. Bifacial solar panels, which can capture reflected light from parked vehicles, are achieving 12-15% higher energy yields in carport applications compared to traditional modules. Recent design breakthroughs include cantilevered structures that eliminate center posts, increasing usable parking space by up to 18%. These innovations are particularly impactful for commercial fleets transitioning to electric vehicles, where charging infrastructure can be seamlessly integrated into the solar carport design.

Regional Analysis: Solar Carports and Canopies Market

North America
North America is a leading market for solar carports and canopies, driven by strong government incentives, corporate sustainability initiatives, and growing investment in renewable energy infrastructure. The Inflation Reduction Act (IRA) in the U.S. has significantly boosted solar adoption, offering tax credits of up to 30% for commercial and residential solar installations, including carport projects. California leads the regional market, with over 1.5 GW of solar carport capacity installed as of 2023, as per the Solar Energy Industries Association (SEIA). However, supply chain constraints and high initial costs remain barriers in some states. The commercial sector dominates demand, with corporations like Walmart and Amazon widely adopting solar carports to reduce energy costs. Canada is also witnessing steady growth, supported by federal carbon pricing policies and provincial incentives like Ontario’s FIT program.

Europe
Europe’s solar carport market is expanding rapidly, fueled by stringent EU renewable energy targets and rising demand for dual-use land solutions. Germany and the Netherlands are frontrunners, with robust policy frameworks like Germany’s Renewable Energy Sources Act (EEG), which promotes decentralized solar power generation. The Netherlands has pioneered innovative solar carport projects in public parking lots, with capacity exceeding 500 MW as of 2023. France and the UK are catching up, driven by municipal mandates requiring solar integration in new parking facilities. However, complex permitting processes and land-use regulations in densely populated areas slow down project timelines. The increasing focus on EV charging integration is another key trend, particularly in Scandinavia, where governments offer subsidies for solar-powered charging stations.

Asia-Pacific
Asia-Pacific is the fastest-growing market, led by China, which accounted for 60% of global PV installations in 2023. China’s 14th Five-Year Plan emphasizes distributed solar, with solar carports gaining traction in industrial zones and commercial complexes. Japan follows closely, leveraging limited urban space efficiently through vertically integrated solar canopies. In India, government initiatives like the PM-KUSUM scheme support solarization of parking areas, though cost sensitivity and lack of standardization hinder large-scale adoption. Southeast Asia shows potential, particularly in Thailand and Vietnam, where rising electricity demand and net-metering policies encourage investments. However, the region still lacks uniform regulations, with project viability highly dependent on local subsidies.

South America
South America’s solar carport market is nascent but promising, with Brazil and Chile leading adoption. Brazil’s distributed generation policies, including tax exemptions for solar projects below 5 MW, have spurred growth in commercial and retail parking installations. Chile benefits from high solar irradiation, with mining companies increasingly adopting solar carports to power operations. However, economic volatility and financing challenges restrict widespread deployment. Colombia and Argentina are emerging markets, but bureaucratic hurdles and underdeveloped grid infrastructure limit scalability. Despite these challenges, the region’s renewable energy potential remains untapped, presenting long-term opportunities.

Middle East & Africa
The Middle East is witnessing gradual growth, with the UAE and Saudi Arabia driving demand through ambitious renewable targets like Dubai’s Shams Dubai initiative. The UAE has implemented large-scale solar carport projects in malls and airports, supported by favorable net-metering policies. In Africa, South Africa dominates, leveraging corporate PPAs and tax incentives for commercial solar installations. However, political instability, inconsistent regulations, and limited financing options hinder progress in other African nations. The region’s vast solar potential remains underutilized due to reliance on fossil fuels, though increasing privatization of energy projects could accelerate adoption in the coming decade.

Report Scope

This market research report offers a holistic overview of global and regional markets for the forecast period 2025–2032. It presents accurate and actionable insights based on a blend of primary and secondary research.

Key Coverage Areas:

• ✅ Market Overview

  • Global and regional market size (historical & forecast)

  • Growth trends and value/volume projections

• ✅ Segmentation Analysis

  • By product type or category

  • By application or usage area

  • By end-user industry

  • By distribution channel (if applicable)

• ✅ Regional Insights

  • North America, Europe, Asia-Pacific, Latin America, Middle East & Africa

  • Country-level data for key markets

• ✅ Competitive Landscape

  • Company profiles and market share analysis

  • Key strategies: M&A, partnerships, expansions

  • Product portfolio and pricing strategies

• ✅ Technology & Innovation

  • Emerging technologies and R&D trends

  • Automation, digitalization, sustainability initiatives

  • Impact of AI, IoT, or other disruptors (where applicable)

• ✅ Market Dynamics

  • Key drivers supporting market growth

  • Restraints and potential risk factors

  • Supply chain trends and challenges

• ✅ Opportunities & Recommendations

  • High-growth segments

  • Investment hotspots

  • Strategic suggestions for stakeholders

• ✅ Stakeholder Insights

  • Target audience includes manufacturers, suppliers, distributors, investors, regulators, and policymakers

FREQUENTLY ASKED QUESTIONS:

What is the current market size of Global Solar Carports and Canopies Market?

-> The global solar carports and canopies market was valued at USD 467 million in 2024 and is projected to reach USD 1,188 million by 2032.

Which key companies operate in Global Solar Carports and Canopies Market?

-> Key players include Nichiei Intec, SankyoAlumi, Schletter, GC Story, AG Japan, Yumesolar, Ecolohas Japan, Japan Energy Holdings, Leapton Energy, Kokko Shisetsu Kogyo, Sanki-kohmuten, Uematsu-Grp Co, and Japan Cleantech, among others.

What are the key growth drivers?

-> Key growth drivers include rising demand for renewable energy solutions, government incentives for solar projects, and increasing adoption of sustainable infrastructure.

Which region dominates the market?

-> Asia-Pacific is the fastest-growing region, while North America and Europe remain dominant markets due to favorable policies and high solar adoption rates.

What are the emerging trends?

-> Emerging trends include integration with EV charging stations, smart energy management systems, and bifacial solar panel technology.