Solar industry ranks diminishing as predicted

NEW TRIPOLI, USA: The contraction that started last week in the number of solar manufacturers is only the beginning and will peak in 2010 according to the report Opportunities in The Solar Market For Crystalline and Thin Film Solar Cells, published by The Information Network.

“In our release on September 3 we forecast that in 2010 as many as 50 percent of the more than 200 solar manufacturers, mired in red ink with current selling prices above $2.00 per watt, may not survive,” noted Dr. Robert Castellano, President of The Information Network. “The freefall has begun.”

* General Electric plans to close its only US solar panel factory because production costs have exceeded sale prices. The factory can produce 34 megawatts.
* Evergreen Solar said it would move panel production from its factory in Devens, Mass., to China next year in order to cut costs.
* Earlier this year, BP Solar announced it would close its solar panel factory in Maryland and outsource that work to a contract manufacturer.
* In October, BP said it had hired Jabil Circuit to assemble panels at a Jabil factory in Poland.

“Our analysis of what companies will fail this year and next are in our report,” added Dr. Castellano.

Solar panel manufacturers that have reported losses just in the past few weeks include Energy Conversion Devices Inc, JA Solar, LDK Solar, ReneSola, Solar Power, and Yingli Green Energy Holding Co. Ltd.

Interestingly, five of the six companies are Chinese. They continue to increase inventory, lose money, and affect the entire solar panel industry. Perhaps, it is an attempt to become the worldwide leader in the solar market by eliminating the competition.