Solar installations in the United States decreased by 14 percent in 2025, falling to 43.2 gigawatts direct current of capacity compared to more than 49 gigawatts installed the previous year, according to a new industry report.

The Solar Energy Industries Association and Wood Mackenzie released the findings on Monday, documenting the decline in solar capacity additions across the country during the past year.

The drop in installations comes amid changes to federal energy policies under the Trump administration, which have affected the solar industry's operating environment. The timing coincides with shifts in government support mechanisms that had previously encouraged solar development.

The solar sector had experienced significant growth in recent years, with installations reaching record levels in 2024 before the decline documented in the latest report. The industry has been sensitive to policy changes affecting tax incentives and other federal support programs.

The 43.2 gigawatts of solar capacity installed in 2025 represents a notable reduction from the previous year's performance, marking a reversal in the sector's growth trajectory. Industry analysts will be monitoring whether this represents a temporary adjustment or signals a longer-term trend in the renewable energy market.