China’s photovoltaic industry is expected to show significant growth and development by 2023, with a substantial increase in the supply of photovoltaic raw materials, technological progress, and outstanding export performance. According to statistics from the China Photovoltaic Industry Association, in 2023, polysilicon production reached 1.43 million tons, a growth rate of 67%; wafer production was 622GW, a year-on-year increase of 67.5%; cell production reached 545GW, a growth rate of 64.9%; and module production reached 500GW, a growth rate of 69.3%. These figures show a substantial increase in production and highlight the optimization of the industrial structure and technological progress.
In terms of technology and efficiency, the power consumption of polysilicon production has been significantly reduced, with the comprehensive power consumption reduced to 57 kWh/kg and the specific power consumption reduced to 43 kWh/kg. This improvement shows that significant progress has been made in terms of energy efficiency and environmental protection. Meanwhile, the market share of large-size silicon wafers has continued to grow, with the proportion of wafers above 182mm increasing to 98%, which indicates an increase in market demand for high-efficiency products. The market share of n-type cells has increased to more than 25%, and they have dominated the growth in incremental production capacity, reflecting the trend of the photovoltaic industry’s transformation towards more energy-efficient and environmentally friendly technologies. In addition, the increase in the maximum power of modules and the rapid expansion of the market share of bifacial modules further demonstrate the continuous optimization of product performance and enhanced market acceptance.
In terms of exports, China’s PV product exports also achieved high growth in 2023. The export volumes of wafers, cells, and PV modules reached 70.3GW, 39.3GW, and 211.7GW, respectively, with year-on-year growth rates of 93.6%, 65.5%, and 37.9%. This leap forward shows the competitiveness of Chinese PV products in the global market and reflects the high degree of international market dependence on Chinese PV products. Regarding export market distribution, Europe and Asia are the main export destinations, accounting for 42% and 40% of total exports, respectively. The Netherlands, Brazil, Spain, and India remain among the top four export markets for Chinese PV products.
China’s energy consumption control policies and drastic fluctuations in supply chain prices notwithstanding, global PV installations have still delivered outstanding results. According to PV InfoLink statistics, the global installed capacity of new PV power generation in 2023 will reach 172.6 GW, a year-on-year growth of 23.1%. The rapid growth in demand for PV energy storage products has also driven economic development. According to PV InfoLink statistics, China’s total exports of modules in 2021 reached 88.8 GW, a year-on-year growth of 35.3%. The main sources of growth are still major PV markets such as Europe, Brazil and India.
It can be observed from the chart that China’s exports of photovoltaic modules to the world in 2024 will almost certainly show growth compared to last year. Apart from the apparent demand for energy transformation in developed markets such as Europe and the United States, other developing countries have also introduced policies favorable to photovoltaic demand. According to research, the number of countries with photovoltaic installations reaching the GW level will grow to 22 in 2024, including emerging countries such as Greece, Israel, and Turkey, showing a significant increase in global demand for photovoltaics.
The second half of the year is the traditional peak season for the market, but bottlenecks in the upstream industry have caused prices across the entire supply chain to rise. China’s energy consumption policies have further pushed module prices, and high shipping costs have also increased the burden on manufacturers. In the face of profit considerations, end users have temporarily slowed down their demand and adopted measures such as delaying shipments and renegotiating prices, resulting in a downward trend in China’s module exports during the second half of the traditional peak season.
Important market for photovoltaic products
Observing the export area, China’s main export markets in 2024 will still be Europe and Asia, with the two regions accounting for 70%, but the proportion is slightly lower than the previous year, with Europe’s proportion increasing to 46% and Asia’s decreasing to 25%. Other emerging markets, such as the Americas and the Middle East, have seen a slight increase in proportion.
Europe
China exported 40.9GW of modules to the European market in 2024, a year-on-year increase of 54% compared to 26.7GW in the previous year. Thanks to the trend of energy transition, Europe maintains the largest module import market, accounting for 46% of the world’s total. Major countries include the Netherlands, Spain, Greece, Portugal, Poland, and Germany, all of which have reached GW-level imports. The Netherlands is China’s largest export country, with 23.8GW for the year. However, due to the impact of the European Court of Justice’s patent ruling in November, some manufacturers could not sell affected products, and imports quickly declined.
The European market, led by Germany, is one of the most stable markets for Chinese photovoltaic products. The European continent is committed to reducing carbon emissions and increasing sustainable energy options, which has boosted demand for modern solar technology. To a certain extent, it relies on Chinese-made photovoltaic modules. Europe’s renewable energy policies and clean energy goals have provided a strong market demand for Chinese photovoltaic products.
Asia
The Asian market saw a slight decline from 23.3GW to 22.4GW, and its annual share fell to 25% in 2023, but it is still the second-largest market for Chinese module exports. GW-level importers include India, Japan, Australia, and Thailand, while South Korea and Malaysia import nearly 1GW. In 2020, Vietnam, which imported the most modules from China in Asia, saw imports rapidly decline after the end of the subsidy policy, falling from the original largest importer to just 0.4 GW of imports.
North America
In North America, especially the United States, imports of Chinese photovoltaic products reached a demand of 16.6 GW. The US renewable energy policy, federal and state-level solar projects, and corporate renewable energy procurement plans have provided business opportunities for Chinese photovoltaic companies.
Middle East and Africa
Countries in the Middle East, such as Saudi Arabia and the United Arab Emirates, as well as some African countries, are also actively promoting solar power projects. Exports of Chinese photovoltaic products to these regions have increased to 9 GW, meeting local clean energy needs.
Emerging markets
In addition, countries such as Australia are also showing a growing interest in photovoltaic energy solutions. The Australian federal government’s advocacy of using environmentally friendly energy sources has led to a surge in solar energy imports from China, strengthening China’s position in the global photovoltaic market.
Latin America
Some Latin American countries, such as Brazil, Mexico, and Chile, are also increasing investment in solar power projects. Chinese photovoltaic products are competitive in these markets because their relatively low prices align with these countries’ pursuit of renewable energy goals. (Brazil is particularly prominent, with a total of 11.3GW)
Countries and regions with strengths in energy storage power exports
A number of countries and regions have emerged as leaders in the export of energy storage power supplies in the rapidly growing renewable energy sector. These regions have capitalized on their technological developments, program frameworks, and market demand to become indispensable players in the international market. Below, I will describe some of the most critical factors in the sector.
United States
The U.S. holds a significant position in the energy storage market, thanks to its focus on technology and technological advancements. The U.S. has a robust policy regime in support of renewable energy generation, which has helped in the growth and export of energy storage technologies. The U.S. has a well-developed research infrastructure and an affordable corporate environment, making it an export leader in advanced energy storage technology innovation.
Germany
Germany is the center of the renewable energy industry and is known for its strong commitment to sustainability and ecological programs. The country has been a leader in advancing and exporting photovoltaic or PV and energy storage innovations. Germany’s strategic investments in research and development as well as federal government incentives have made it an important exporter of space power materials for energy storage. The country’s engineering expertise and focus on high quality better enhances its competitive edge in the global market.
South Korea
South Korea has emerged as an important exporter of energy storage services due to its advanced production capabilities and emphasis on R&D. The country has been able to develop a wide range of products and services that are essential for the development of energy storage space systems. The country has invested heavily in the development of lithium-ion battery technology, which is essential for energy storage space systems. South Korea’s solid business foundation and the federal government’s strong support for renewable energy development have given the country a foothold in the global power storage market.
Japan
Japan is known for its technological innovation and performance, especially in power storage. The country places great emphasis on the development of advanced battery innovations that are critical for efficient power storage systems. Japan’s investment in R&D and strategic partnerships with global players have cemented its position as a leading exporter of energy storage solutions. The country’s focus on high quality and integrity has made its products highly sought after globally.
Conclusion
Energy saving and emission reduction is now a common goal worldwide, and the introduction of net-zero carbon emission targets in various countries will further stimulate the increase in demand for PV. 2025 PV InfoLink forecasts that annual demand will reach 214GW, with non-Chinese demand coming in at 139GW, an increase of 11.6% year-on-year, which is not as rapid as the previous year’s increase but is still a positive development for China’s module exports.
However, it is still necessary to observe the changes in the international situation; for example, India will start to impose 40% tariffs on modules in April this year, and countries to ensure the stability of the supply chain and the establishment of their own PV production capacity will be the factors affecting the future of the international PV supply and demand.
