To qualify for the 10% domestic bonus ITC, 40% of your project's manufactured components need to be made in the US.
Domestic content is measured by calculating the total cost of the manufactured products that are "mined, produced, or manufactured in the United States" as a percentage of the total costs across all manufactured products in the project.
We see buyers reduce the complexity of reaching the 40% requirement by purchasing one main element that is made in the US. i.e. All PV panels.
Depending on your project size, the increased cost of sourcing materials domestically may override the 10% domestic content credit. For this reason, it is important to run an RFP process that accounts for multiple options.
❗ Since the passage of the Inflation Reduction Act 2022 (IRA) The IRS has not released detailed criteria for products and materials to qualify as domestic content.