Hello, solar enthusiasts! Today, I’d like to bring some insight into what’s happening in the global photovoltaic (PV) industry. A detailed insight is vital not only for solar companies and solar-company investors but also for anyone pondering over installing solar panels for their home.
According to OPIS, a Dow Jones company, the Chinese Module Marker (CMM), a benchmark for mono PERC modules derived from China, stood firm at $0.110 per Watt, preserving stability from the previous week. The prices have maintained a steady pace for seven weeks straight, revealing market participants’ careful observation of the emerging price trends.
One can’t help but perceive that the market sentiment is significantly heterogeneous. There were whispers of potential domestic Chinese price escalations in March. At the same time, other participants appear uncertain if these increases will materialize, given the hefty inventory present in the market.
The speculated price hikes are potentially linked to suppliers’ unwillingness to accept orders at previously lower costs, leading to a decrease in P-type supply. According to a market source, cell makers increased P-type prices before the Lunar New Year, yet n-type prices were left untouched.
In this pricing upheaval, one seller staunchly believes that a surge in Chinese market prices will only impact p-type modules due to reduced production. The seller mentioned the possibility of some price drops for N-type modules. Yet, this speculation remains just that—a conjecture awaiting confirmation from the market’s subsequent actions.
Looking ahead, the prognosis for March seems promising, with an anticipation of a rebound in demand in Q2-Q3 since overseas projects commonly kick off construction after winter. Simultaneously in China, module tenders are generally conducted in the first half of the year, followed by construction in the second half, as noted by a solar industry veteran.
The veteran further explained that the Chinese market would witness around 30-40% of demand in the first half of the year, with the majority of it clustering in the second half. In response to this expected upturn in demand, module makers are predicted to heighten their operating rates in the following weeks.
China foresees production surpassing 50 GW of modules in March, as per data from the Silicon Industry of China Nonferrous Metals Industry Association. That’s an impressive figure, indicative of ample availability for those eyeing to install a solar array for home use.
Solar energy is undeniably the future, and understanding these market dynamics plays a significant role in making informed choices not just for solar companies, but for the broader public ready to embrace renewable technology. Stay tuned for more industry updates and don’t hesitate to reach out if you have any questions!
Original Articlehttps://pv-magazine-usa.com/2024/03/01/module-prices-steady-as-market-mulls-price-hikes/
