The escalating tensions in the Middle East and restrictions on maritime traffic in the Strait of Hormuz continue to impact various sectors of the global economy. In the solar energy market, however, the effects go far beyond simply increasing the cost of transporting equipment from China to Brazil.
In an interview with Canal SolaEudes Silveira, director of Port Trade, explains that the current scenario is putting pressure on the entire global supply chain used in the manufacture of photovoltaic equipment, which could result in higher costs for the sector in the coming weeks.
According to him, when talking about solar energy, it's common to imagine that the increase in freight costs only affects the transportation of equipment produced in China to Brazil. In practice, however, the impact is much broader.
The impact goes beyond the China-Brazil route.
Silveira explains that many inputs used in the manufacture of photovoltaic modules and other equipment in the sector are currently obtained from different parts of the world before arriving at Chinese factories – where they are ultimately produced and packaged before being transported to the rest of the world.
“When we talk about solar energy, most people think that the panel comes from China and is shipped to Brazil. But it's not merely that. The composition of the solar panel, for example, includes aluminum, copper, sulfur, and various other components that often come from countries like Chile, Peru, Russia, and even Brazil itself,” explains Silveira.
According to the executive, this is one of the aspects least noticed by the market. This is because the increase in logistics costs affects not only the transportation of finished equipment, but also the arrival of raw materials used by the photovoltaic industry.
With rising global logistics costs, these materials are arriving at higher prices in Asian industries, putting pressure on manufacturing costs even before the equipment is exported.
"What has driven up the price is a combination of factors. From the high cost of raw materials vital for manufacturing solar panels to the increase in logistics costs. In other words, production becomes more expensive even before the equipment is shipped for export," he stated.
The importance of the Strait of Hormuz
Located between the Persian Gulf and the Gulf of Oman, the Strait of Hormuz is one of the most strategic maritime passages on the planet. A large portion of the globally traded goods pass through this region.
The increased uncertainty stemming from the escalating tensions that have persisted for months in the region has led shipowners and logistics operators to revise routes and expand security measures, further pressuring the costs of maritime transport.
According to Silveira, a container that cost between US$1.600 and US$2.200 at the beginning of 2026 should reach US$10 by the end of July. "Today we are already talking about freight rates in the range of US$7. And, being optimistic, I believe that in 30 to 60 days we can get close to US$10 per container," he said.
In addition to the geopolitical crisis, international logistics faces a seasonal period of strong demand driven by orders from global retailers for dates such as Children's Day, Black Friday, and Christmas.
According to the executive, this movement tends to further increase the competition for space on ships and contribute to further price increases.
Longer routes increase costs.
Another observed effect is the need to use alternative routes to avoid areas considered high-risk. In many cases, vessels have opted for longer routes, such as the route around the Cape of Good Hope in Africa.
The change adds approximately two weeks to transit time and significantly increases operational costs. In addition to the extra fuel consumed by vessels, insurance companies have started charging higher premiums for operations in regions considered more geopolitically sensitive.
What can we expect for the solar sector?
Although it is still too early to measure the exact impacts on the prices of photovoltaic equipment, Silveira believes that the combination of more expensive freight, more costly raw materials, and longer routes tends to put pressure on the costs of the production chain.
In practice, this means that any increase in the prices of solar equipment should not be explained solely by the transportation of the products to Brazil, but also by the increased cost of the entire global infrastructure necessary to produce them.
For the solar sector, this scenario reinforces the importance of monitoring not only the prices of modules and inverters, but also the geopolitical and logistical movements that influence the global supply chain.
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