Delivery of equipment may be delayed due to coronavirus

China resumed activities earlier this week after Chinese New Year was extended by the government due to the coronavirus outbreak in the country. In an interview with Canal Solar, companies in the photovoltaic solar energy sector commented on the expectations regarding the supply of equipment in Brazil.

Equipment distributor Aldo Solar, which has agreements with the main solar module manufacturers in China, commented to Canal Solar what are the expectations for the next few days.

“We are not currently alarmed about the impact of the coronavirus on our business, but if the situation does not return to normal within three weeks, supply may be delayed. We have agreements with major solar module manufacturers in China, such as Trina Solar and Jinko Solar, the latter being a long-term distribution partnership,” explained Aldo Pereira Teixeira, founder and president of the company.

The general director of the photovoltaic module manufacturer JA Solar, Claudio Loureiro, stated that the sector should be slightly impacted. “I believe there will be a shortage of supply in the first and second quarters with stabilization in the second half of the year, considering all suppliers. This means that it will take at least two weeks for the entire chain to return to synchronization. However, the situation is still undefined since the peak of the epidemic may still be ahead,” commented Claudio.

For the manufacturer Risen Energy, even with the resumption of activities in China, the coronavirus outbreak may affect supply in Brazil. “In my view, this additional shutdown of factories in Asia due to the coronavirus may slightly affect local inventories and short-term sales. However, we need a few more days or weeks to know the real impact on short-term sales. On the other hand, the current high exchange rate may also momentarily reduce sales, lessening the impact of the factory shutdown due to the coronavirus,” said Risen’s sales director, Fernando Castro.

Through a note, the manufacturer BYD Brazil, which has a unit in Campinas in the interior of São Paulo, stated that the extension of the holiday did not impact production, but supplies to Brazil could still be affected. “Despite the sudden change in the calendar, production at the factory in China was not affected, however, it is possible that there will be some delay in deliveries due to the logistics of the transport system in China,” reported the press office of the Chinese manufacturer.

In a solidarity action, BYD donated 50 masks and 11 surgical suits to workers in hospitals, public transport, customs and company employees in China. In addition, 50 masks were donated to be distributed throughout Chinese territory.

In addition to the photovoltaic solar energy sector, the coronavirus outbreak has impacted other sectors of Chinese industry, such as the hospital and telephone equipment segments.

According to China's National Health Commission, as of Wednesday (12) the country had recorded 1.113 deaths due to the coronavirus, 44.653 cases had been confirmed and 185.037 were under observation.

In Brazil, the Ministry of Health is investigating seven suspected cases, one in Minas Gerais, one in Rio de Janeiro, three in São Paulo, one in Paraná and one in Rio Grande do Sul. 32 suspected cases in seven states have already been ruled out.