Covid-19

Many solar factories in China are starting to resume production, suggesting that concerns about supplies of PV components could soon begin to ease. Nevertheless, the temporary standstill will have an impact on the global solar market, as the implementation of some projects will probably be postponed until next year.

The Chinese polysilicon giant’s net income fell nearly 23% year on year to $29.5 million in fiscal 2019, even though it posted a 16% year-on-year jump in revenue to $350 million. It expects its polysilicon output to soar in the year ahead, despite the threat posed by the coronavirus outbreak.

The Covid-19 outbreak has disrupted the global PV supply chain. China, the largest manufacturing hub for solar products, has postponed factory openings in many regions, as it has been hit by logistical hiccups, staff shortages, and delivery delays. Manufacturers in some Chinese provinces are running under capacity, while those overseas are facing the same situation.

Developers are also expected to drag their heels over project completion during the first half of the year as the safeguarding duty applied to imported Chinese and Malaysian solar products is due to expire at the end of July.

The list of major solar industry events put on hold due to the Covid-19 virus is lengthening. Today, Solar Solutions Amsterdam became the latest event planned for this month and next which the organizers must reschedule for later in the year.

As the contagion continues to spread, its impact is beginning to be felt on the solar industry outside China with the cancellation or postponement of major trade shows and conferences that were set to take place over the next few weeks.

The annual trade show was not particularly well-attended this year, but market sentiment is still positive in Japan – nobody believes that installations will drop due to the coronavirus outbreak. And the country’s upstream industry – modules, batteries, and hydrogen tech – clearly remains compelling, given the number of brave souls who actually did make the trip out to Tokyo Big Sight this year.

Three more PV manufacturers are jostling to announce plans to invest in an expansion of production capacities as the industry appears to make light of coronavirus fears.

Lobby group the National Solar Energy Federation of India says around 4 GW of solar plant capacity is likely to be affected by component shortages after the outbreak of the virus in China.

As the outbreak takes its toll on solar panel and battery manufacturing in China, Australia is bracing for disruptions in the supply chain.