Global Sources
EE Times-Asia
Stay in touch with EE Times Asia
EE Times-Asia > Manufacturing/Packaging

PV firms struggle in harsh market

Posted: 14 Nov 2011 ?? ?Print Version ?Bookmark and Share

Keywords:utilization rate? PV supply chain? solar manufacturer?

As PV prices keep on dropping, midstream Taiwan solar manufacturers profit will continue to fall. This is according to EnergyTrend, a research arm of TrendForce Corp., that also revealed that manufacturers have reduced their utilization rates.

Some makers have even ceased production to counter the latest price decline. As for the spot market, inventory dumping remains prevalent, but there are still few concluded deals. EnergyTrend said trading prices have hit a new low, which means manufacturers will continue to face immense inventory pressure.

The industry is gearing up for a long winter, but facing such a harsh environment, manufacturers in the PV supply chain have begun to conduct strategic alliances or mergers. Makers are aiming to find a way out of the cutthroat, price-slashing market by improving profitability and supply and demand balance. GCL-Poly has been the most active in this regard. They will continue to expand capacity, capitalizing on their production scale and cost advantage to advance on the wafer market. GCL-Poly is also aggressively laying plans for the integration of downstream systems and power plant bids, in order to enter the end market and to develop both ends of the smiling curve theory. As for components such as solar cells and modules, the company is still searching for business partners.

PV spot price

Source: EnergyTrend

As for Taiwan manufacturers, affected by the nature of their position, they are cooperating with upstream clients, downstream clients, or each other in order to increase shipments, lower makers' inventory risk and escape the cutthroat market. For instance, with cooperation from GCL-Poly, Kenmec, backed by their experience with automatic equipment, solar cells and modules, has successfully broken into China's power plant bidding market.

As for spot prices, polysilicon, Si wafer and solar cell price are all on a downtrend. Lowest polysilicon price was $25/kg, while ASP fell to $30.1/kg, a decrease of 5.05 percent. In terms of Si wafers, lowest multiSi wafer price fell to $1.1/piece, whereas mono-Si wafer price fell to $1.6/piece. This week's multiSi wafer price decreased significantly, with ASP declining by 4.47 percent to $1.303/piece. EnergyTrend believes multiSi wafer ASP may reach a low of $1.2/piece in November. Mono-Si wafer ASP fell to $1.827/piece, a decrease of 3.18 percent. Lowest solar cell price stayed at $0.41/W, while ASP decreased by 3.41 percent to $0.539/W. In terms of solar modules, while ASP fell by 1.21 percent to $0.983/W, the decrease was smaller than last week's, which EnergyTrend noted may be attributed to demand recovery on the European market.

Article Comments - PV firms struggle in harsh market
*? You can enter [0] more charecters.
*Verify code:


Visit Asia Webinars to learn about the latest in technology and get practical design tips.

Back to Top