According to the prediction of the International Energy Agency, the global photovoltaic manufacturing capacity is expected to reach 1 TW by 2024, almost doubling in growth. China plays a leading role in promoting this expansion, but also faces the challenge of oversupply.In 2022, global photovoltaic manufacturing capacity increased by over 70%, with China accounting for over 95% of the new production capacity. It is expected that by 2023 and 2024, the global photovoltaic manufacturing capacity will double again, and China will still account for over 90% of the growth.
However, in the European region, the proportion of new photovoltaic manufacturing capacity is relatively small, and the competitiveness of photovoltaic manufacturing in Europe is relatively low. Although the expansion of photovoltaic manufacturing capacity has provided significant impetus for sustainable energy, the problem of oversupply also needs to be addressed.According to the prediction of the International Energy Agency (IEA), global photovoltaic manufacturing capacity will almost double to a scale of nearly 1 terawatt by 2024. This expansion is sufficient to meet the IEA’s annual demand for net zero emissions in 2050, which is expected to have nearly 650 GW of photovoltaic installed capacity by 2030 and nearly 310 GW by 2024. However, the photovoltaic industry faces the challenge of oversupply.
In 2022, global photovoltaic manufacturing capacity increased by more than 70%, reaching nearly 450 GW, with China accounting for over 95% of the newly added portion of the supply chain. It is expected that the global photovoltaic manufacturing capacity will double in 2023 and 2024, with China once again accounting for over 90% of the growth. Chinese manufacturers are investing in expanding wafer, battery, and component manufacturing in Southeast Asia, and due to the introduction of new industrial policies last year, India and the United States will also deploy manufacturing factories.
The Production Related Incentive Plan (PLI) in India and the Inflation Reduction Act (IRA) in the United States have sparked a surge in new solar manufacturing projects. Between November 2022 and May 2023, over 120% of such projects were announced, and it is expected to create national supply chains with over 20 GW of production capacity in each region.
Europe’s new manufacturing capacity accounts for only 14% of the announced projects since August 2022. The EU’s Green New Deal Industry Plan and Net Zero Industry Act aim to achieve 40% of the European photovoltaic target by 2030, but currently do not include specific incentive measures. The high industrial energy prices in EU countries have also increased the manufacturing costs of photovoltaic equipment.
In Europe, less than 1% of manufacturing capacity is used for new batteries, with ingots and wafers accounting for 9%, while polycrystalline silicon production only accounts for 6%. Integrated manufacturing facilities can produce three or more components, but nearly 80% of declared production capacity does not include dedicated polycrystalline silicon production. In addition, the production capacity of the new component assembly plant is approximately 30 GW, which does not match the declared production capacity of other components, especially batteries and polycrystalline silicon. Therefore, these new factories still need to import batteries and other components from China.
The photovoltaic manufacturing capacity is expected to exceed 1 TW by 2024, led by China, but also faces the challenge of oversupply. The global photovoltaic manufacturing capacity will almost double, with China occupying the leading position. Other countries such as India and the United States are also promoting new manufacturing projects. Europe’s manufacturing capacity growth is relatively small and lacks competitiveness. However, the photovoltaic industry still faces enormous development opportunities, and the global demand for sustainable energy continues to grow. The progress of photovoltaic technology will drive energy transformation.
Since its establishment,MULTIFIT Company has focused on high-quality products, using leading technology in the photovoltaic industry and full scenario and process solutions, continuously innovating and exploring, and comprehensively implementing quality improvement projects throughout the product lifecycle, leading the enterprise in terms of quality and brand development. Quality is the vitality of the stable development of enterprises. MULTIFIT Company adheres to the quality concept of high standards and strict requirements, and has established a strict quality management system in accordance with the requirements of the ISO9001 management system.
Currently, various forms of new energy are accelerating their transformation from cocoons to butterflies. The unremitting efforts of industry colleagues are objectively promoting greater technological fission and accelerating the process of energy revolution. Through the integration of ecological circles, continuous cross-border combinations are carried out, application scenarios are expanded, new species, new formats, and new models are formed, and the advantages of each enterprise are fully utilized to unite and warm up, making the photovoltaic industry shine and change.
I believe that in the future, with the continuous innovation and research and development of MULTIFIT Company, we will unlock more achievements, bring higher value to customers with the supreme components of high power, high efficiency, high reliability, and high power generation, and contribute more energy to promoting energy transformation.
Post time: Sep-28-2023