Analysis of pain points in the solar container industry

Are solar PV supply chains cost-competitive?

Currently, the cost competitiveness of existing solar PV manufacturing is a key challenge to diversifying supply chains. China is the most cost-competitive location to manufacture all components of the solar PV supply chain. Costs in China are 10% lower than in India, 20% lower than in the United States, and 35% lower than in Europe.

How can the solar PV industry support growing demand?

Annual investment levels need to double throughout the supply chain. Critical sectors such as polysilicon, ingots and wafers would attract the majority of investment to support growing demand. The solar PV industry could create 1 300 manufacturing jobs for each gigawatt of production capacity.

How has IRA impacted the solar supply chain?

Since IRA’s passage (taking into account the cancellations), over 300 GW of manufacturing capacity has been announced across the solar supply chain, representing more than 29,000 potential jobs and more than $15 billion in announced investments across 97 new facilities or expansions.*

How many dumping and import taxes are imposed on solar PV?

Since 2011, the number of antidumping, countervailing and import duties levied against parts of the solar PV supply chain has increased from just 1 import tax to 16 duties and import taxes, with 8 additional policies under consideration. Altogether, these measures cover 15% of global demand outside of China. IEA. Licence: CC BY 4.0

Why are PV modules being delayed in the United States?

The rapid rise in delays between mid-2021 and late 2022 corresponded with constrained importation of PV modules into the United States, related to issues including policies that targeted China’s alleged use of forced labor (WRO on Hoshine, UFLPA), the AD/CVD circumvention investigation, and COVID-related supply chain disruptions.