Island Firm: China’s Solar Sector Booms
A Bermuda-based business and financial media company reports Chinese suppliers of solar panels and power systems are optimistic about continuing strong sales as they improve product performance, even while slashing prices and confronting substantial industry challenges.
This is according to the newly issued Global Sources [Bermuda] “China Sourcing Report: Solar Panels & Power Systems”. The report covers the major types of Chinese-made solar panels and power systems, including crystalline and thin-film modules and fixed and portable versions.
Publisher of the Report, Livia Yip, said: “Buoyed by stellar sales performance in 2010, when some product categories soared by 200 percent, most China suppliers are confident of continued export growth in the coming months. Of surveyed suppliers, nearly 80 percent anticipate double-digit increases for overseas sales.
“To secure market presence and attract more orders, suppliers are launching innovative designs and cutting prices by as much as 15 percent. Such steps aim to ensure survival as the industry engages difficult changes.”
“China Sourcing Report: Solar Panels & Power Systems” shows rich research and development yielding innovative products, with greater portability being a major trend among manufacturers. New designs include power systems for smartphones, notebooks and MP3 players. Releases of PV sets for emergencies and outdoor activities are smaller in size, and convenience is also seen in designs featuring foldable solar arrays.
Among solar panels, R&D is also targeted at enhanced efficiency with conversion rates of 16 percent and higher, service life extension to 25 years, and a wider operating temperature range of -40 to 85 °C. The latest products from China are also more appealing, with attractive white or black frames.
The report also reveals that China-made solar panels and power systems are becoming less expensive as competition intensifies. Forty-two percent of surveyed manufacturers are planning to pull down quotes. Price cuts stem from recent developments, including the entry of more small and mid-size companies attracted by a steady rise in demand for alternative energy technologies. The 40 percent drop in polysilicon costs since March 2011 is another contributing factor.
While the European Unionremains the top export market absorbing 80 percent of shipments, many China suppliers are expanding their reach into non-EU countries, North America, the Asia-Pacific region and Africa to boost sales. The domestic market is gaining more attention as well.
These strategies come as the industry faces new challenges. Besides escalating price competition, suppliers are dealing with Germany’s and Italy’s announced reductions of feed-in tariffs on large PV installations. Suppliers worry this might discourage investment in solar-generating systems across the EU, diminishing demand for panel technologies there, leading to a consolidation of the industry in China.
To survive such difficulties, some enterprises are moving upstream for greater control of manufacturing expenditure and quality.
The 44-page “China Sourcing Report: Solar Panels & Power Systems” provides detailed profiles of 19 suppliers with verified manufacturing and export credentials. It also includes a Product Gallery featuring 45 of the most popular export models, with key specifications and full-color pictures.
The report’s surveys, price trends and supply forecasts aim to help buyers make better-informed purchasing decisions.
Global Sources [Bermuda] is a leading business-to-business media company and a primary facilitator of trade with Greater China.
The core business facilitates trade between Asia and the world using English-language media such as online marketplaces, print and digital magazines, sourcing research reports, private sourcing events, trade shows, and online sourcing fairs.
Over one million international buyers, including 85 of the world’s top 100 retailers, use these services to obtain product and company information to help them source more profitably from overseas supply markets. These services also provide suppliers with integrated marketing solutions to build corporate image, generate sales leads and win orders from buyers in more than 240 countries and territories.
Other Global Sources [Bermuda] businesses provides Chinese-language media to companies selling to and within Greater China. These services include online web sites, print and digital magazines, seminars and trade shows. In mainland China, Global Sources has a network of more than 40 office locations and a community of nearly 3 million registered online users and magazine readers of its Chinese-language media.
Now in its fifth decade, Global Sources [Bermuda] has been publicly listed on the NASDAQ since 2000.
