European companies not in the top 10 in 3Q'11, despite high demand in Europe

BOSTON--While the demand in Europe is on the rise, European manufacturers are having trouble remaining cost competitive by producing in Europe, according to Lux Research's latest Solar Supply Tracker. Norway-based cell manufacturer Renewable Energy Corporation (REC), as an example, has reduced production at two of its facilities in Norway by about 400 MW in the past two months while it continues its production at full capacity in Singapore. Module prices are at a record low with major manufacturers selling around ~$1/W to burn through their inventories. While this price is unsustainable, it makes cost competition cut-throat.

"The Asian share in cell manufacturing will continue to rise and go >50%, even though risks of trade disputes and tariffs loom in the western hemisphere. Moreover, polysilicon production has shifted to Asia during the last quarter while module production had already shifted to Asia in late 2010."

The top 10 companies, which make up 44% of global production, include some of the Chinese crystalline silicon cell manufacturing giants, such as Suntech, Yingli and Trina. Neo Solar Power, which is a Taiwanese cell manufacturer, entered the top 10 for the first time with 3% of global production.

According to Fatima Toor, the Lux Research Analyst who led the Solar Supply Tracker, "The Asian share in cell manufacturing will continue to rise and go >50%, even though risks of trade disputes and tariffs loom in the western hemisphere. Moreover, polysilicon production has shifted to Asia during the last quarter while module production had already shifted to Asia in late 2010."

Available only from Lux Research, the Solar Supply Tracker provides a customizable platform for tracking the capacity and production of five key value chain segments in photovoltaics: polysilicon, ingot, wafer, cell and module. The cell and module segments track crystalline silicon (x-Si), thin-film silicon (TF-Si), copper indium gallium selenide (CIGS), cadmium telluride (CdTe) and organic photovoltaic (OPV) companies, while the polysilicon, ingot and wafer value chain segments are specific to x-Si. Lux Research tracks over 400 companies globally across all value chain segments.

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