According to IHS Markit, an international market research organization, crystalline silicon cell manufacturers were much more stable in 2017 than in the previous year, with marginal price drops only, and demand was stronger than expected, especially in the third quarter of price increase. Silicon products continue to advance to a higher market share.
'The two main reasons for stabilizing battery prices are the high cost of raw materials and wafers, strong demand, and limited supply of monocrystalline silicon wafers,' explained Karl Melkonyan, Senior Analyst, Solar Energy Requirements at IHS Markit.
'In 2016 parts prices were affected by oversupply. In contrast, the 2017 supply and demand market was relatively healthier and experienced tight supply times,' added Jade Jones, senior analyst at GTM Research Solar Markets. 'Prices can be presented in 2017' A healthier trend, as China's downstream demand is more stable quarter-on-quarter. As the world's largest photovoltaic market, 2017 accounted for more than 50% of global installed capacity, and China's seasonal demand trends have a huge impact on supply and demand trends.
Not surprisingly, China is still the largest producer and demander of silicon batteries in 2017. It should be noted that in November 2017, Tongwei Company stated that it will invest US$1.8 billion in two new battery facilities in China. This is China's largest announcement, which will make it the world's largest solar cell producer.
However, for other battery manufacturers outside mainland China, Tongwei's statement may bring negative news. Analysts believe that 'the overnight expansion plan shows that the manufacturing cost is reduced seriously. For example, as represented by Tongwei. Chinese companies are the largest and lowest cost battery suppliers, and Taiwanese manufacturers may end up losing market share sooner than they think.
