PV products sell "cabbage prices"
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From the beginning of the year to the present, the international PV market is experiencing a “big diving†from the upstream polysilicon price to the downstream component price, which has fallen by more than 30%. Many companies in Quanzhou have a worrying profit. Pricing is falling near the cost of the European Solar Photovoltaic Exhibition held recently. Major manufacturers have launched a fierce price war and the average price has fallen by more than 15%. A small and medium-sized enterprise in Zhejiang broke the “floor price†of about 0.93 US dollars per watt. Analysts pointed out that the cost of domestic first-tier enterprises can be controlled at around $0.94, while the cost of some SMEs is above $1, and the price below $1 per watt is almost bottoming out. Quanzhou PV companies relying heavily on exports are also facing this nightmare. "At present, the sales volume is mainly maintained, and the profit is almost no." Lin Wen, the head of the luxury optoelectronics, told reporters that the export price of photovoltaic modules produced is about 7 yuan, which is close to the cost price. In addition, orders in Europe and the United States have not risen, but instead It has fallen by about 5%. The relative overcapacity is disturbing. The real reason for the current decline in PV product prices is not the breakthrough in technology, but the lack of demand and the relative surplus of industry capacity. The arrival of the third quarter of the photovoltaic industry in Europe and the United States has not brought good mood to domestic PV module manufacturers. “A recent Zhejiang company sent three containers to European customers, but it was returned to two boxes.†The industry’s people expressed the feeling that the top two PV installers in Germany and Italy in 2010, due to the reduction of PV subsidy policy, this year Installations in the first half of the year have fallen sharply. What is not commensurate with the trend of demand is the current overcapacity in the industry. According to the analysis of authoritative organizations, in the first half of 2011, the global photovoltaic industry achieved an average annual production capacity of 35 megawatts, far exceeding the market demand of 19 megawatts, and global photovoltaic product inventory reached 8.6 megawatts, exceeding the normal level of 5 megawatts to 6 megawatts. . Switching to the domestic market For photovoltaic companies, the worst is far from the past. Lin Wen said that the price range of the entire industrial chain has now moved down. The result may be that no one wants the products of small enterprises, and the market share will continue to concentrate on the large-scale enterprises in the first line. Where should small and medium-sized PV companies go? In the current downturn in the overseas PV market, it is crucial to open up domestic market demand. Analysts pointed out that from the development experience of the photovoltaic industry, the most important and effective is the introduction of the on-grid tariff policy. “Only in Quanzhou, it is estimated that by June 2013, 70 million yuan will be invested in photovoltaic building applications.†Lin Wen said that the National Development and Reform Commission recently announced the PV on-grid price standard, which is a strong market signal.