The Solar Energy Industry Will Have the Second Recession

Published:2010/8/9 1:20:00 Author:Li xiao na From:SeekIC

The supply of the solar energy industry will exceed the demand, which will make the price of solar energy cell module decrease by fifty percent in the next year. This may become the second recession after the economic recession of 2008. Germany is the largest market of the solar energy, which gained so much investment to overcome the economic recession in the year of 2008. Most of the corporations are trying to get the supply before the industrial subsidy reduction of the government; therefore, the indication of recovery is emerging in the year of 2010. Meanwhile, the manufacturers are trying to increase the capacity to meet the requirement of market, which is fatal to most of them, because they relay so much on the German market.

Governments of the European countries are planning to reduce the solar energy subsidy as well as Germany. The funds shortage intensifies the difficulties of the solar energy industry. Experts point out that the exceeded supply will emerge next year. The profits of the supplier will be influenced by the price reduction. Manufacturers have averted their eyes to the new emerging markets, such as France, America, China and India. It is predicated that the ratio that taken by the above four
countries in the solar energy market will reach about thirty percent next year.

Analysts differ widely in their opinions on the question whether the German recession will influence the entire market or not. The data shows that the German market will reduce by fifty seven percent next year, decreasing from seven billion watt to three billion watt. Some experts declaim that the German recession will not be as serious as people consider, the increase of other countries can compensate the loss. However, some experts take a skeptical attitude about the supply and demand relationship.

The solar energy price in Europe is 1.92 euro, which is cheaper than last year. It is predicated that the price will reduce by forty percent next year. The related integrated circuit is W90100.

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