Solar Energy

Coronavirus how can it affect the Solar industry?

Think of the earth as a living organism that is being attacked by billions of bacteria whose numbers double every forty years. Either the host dies, or the virus dies, or both die. – Gore Vidal

China faced deepening isolation over its coronavirus epidemic on Saturday as the death toll soared to 259, with the United States leading a growing list of nations to impose extraordinary Chinese travel bans. Britain, Russia, and Sweden are among the countries confirming their first infections; the virus has now spread to more than two dozen nations, sending governments scurrying to limit their exposure.

What are module manufacturers say about this predicament? Coronavirus is likely to impact the solar industry supply chain due to extended work stoppage in eight provinces. The provinces being key solar manufacturing hubs. Many PV manufacturers continued some level of production during the Chinese New Year holiday period to ensure a backstop in case the virus spreads.

The eight provinces that extended work stoppages, notably include Jiangsu province, was home to several ‘Solar Module Super League’ (SMSL) members major manufacturing hubs, including Canadian Solar, LONGi Group, Trina Solar, Q-CELLS and JA Solar.  Zhejiang province is home to some of JinkoSolar’s manufacturing operations, the largest SMSL, while JA Solar also has manufacturing operations in the province.

With ‘limited’ continued production through Chinese New Year and lack of visibility into issues related to returning workforces, It is possible that shortages of solar wafers were emerging and possibly glass for PV modules.  This would likely lead to near-term solar supply chain component pricing increasing.

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