China will be the biggest deployer of PV in 2013, according to a new report by NPD Solarbuzz.

Japan will remain the most active PV market however with a growth of 150% and 5GW of projects in the pipeline for installation before the second quarter of 2014.

The combined demand from China and Japan is forecast to reach 9GW in the second half of this year. Total Asia Pacific demand will exceed 16GW in 2013, representing a 90% increase in the previous year.

“The record level of PV shipments to China and Japan coincides with corporate margins returning to positive territory and the final shakeout phase of uncompetitive manufacturers nearing completion,” said Finlay Colville, vice president, NPD Solarbuzz.

“Having entered 2013 with a highly cautious outlook, tier-one suppliers are poised to exit the year with restored confidence, ahead of optimistic shipment and margin guidance for 2014,” he added.

Yesterday, Japan’s ministry of economy, trade and industry revealed that 19GW of commercial solar had been approved by the government under its solar incentive scheme as of the end of March 2013. The initiative was launched in July 2012.

Rising demand in China has been stimulated by the government’s efforts to encourage distributed generation. Rooftop installs exceeded ground-mounted in the second quarter of 2013 as a result.

With obstacles to grid access for solar farms cut, Chinese ground mounted projects are expected to pick up again.

The Chinese government has stimulated domestic solar demand just as exports to the EU have fallen as a result of the trade dispute, helping manufacturers there to continue moving their products.

A number of manufacturers, including Trina Solar, have cited growth in China and Japan as a major factor in positive financial results.