Shortage of materials in the photovoltaic industry worries manufacturers

Overall cost of PV modules increased by 35% worldwide since second half of 2020
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The main photovoltaic module manufacturers are concerned about the continuous growth in the price of raw materials considered essential for the manufacture of solar modules, such as glass, silicon and silver.

According to a statement from LONGi Solar, the general cost of solar modules worldwide has been growing since the second half of 2020, due to soaring material prices. 

“The overall module cost increased by around 35% and remained high, due to strong price increases for these raw materials,” highlights the document.

Between the months of June 2020 and February 2021 alone, the value of glass per square meter rose by around 80% on the market, while the prices of silicon and silver registered increases of 64% and 55%, respectively, in the same period.

In an interview with PV Tech, Dany Qian, president of Jinko Solar, stated that the shortage of solar manufacturing material is approaching a critical point, with the price of silicon continually rising. For the executive, the new increase in demand downstream It is also expected to worsen in the coming months. 

According to information from Energy Trend, a solar market research company, the most recent price of polycrystalline silicon – US$ 20.69 per kilogram – represented an increase of 3.3% compared to the same period last year.

In the understanding of Fernando Castro, country manager at JA Solar Brasil, the sector's forecast is that the prices of photovoltaic modules will grow by more than 10% by the end of 2021. “In this scenario, combined with the constant increase in silicon, everything indicates that this year will see constant price increases, regardless of a possible reduction in the Indian market, due to the worsening of the coronavirus”, he commented. 

Picture of Henrique Hein
Henrique Hein
He worked at Correio Popular and Rádio Trianon. He has experience in podcast production, radio programs, interviews and reporting. Has been following the solar sector since 2020.

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