Deutsche Bank has reiterated its positive stance on the global and the US solar markets in a post-Intersolar North America research note.
Analyst Vishal Shah noted that while the recent US trade tariff decision had left most module suppliers facing higher than anticipated duties, there was enough demand to remain optimistic.
The note adds that previously forecast module pricing reductions from US$0.66-0.67/W in Q1 to US$0.63-0.64/W in Q3 could now be beyond the industry with manufacturers reportedly keen to keep prices flat from Q1 levels.
Shah said demand would “accelerate” in the second half of the year as yieldcos continued to drive momentum in the market and Chinese demand remained unaffected by recent instability in the stock markets. The note to investors also suggested that Chinese downstream portfolios could be listed in the US with others eyeing a domestic listing.
Deutsche Bank put manufacturing capacity expansions for the second half of the year at 500-600MW.
This is a fraction of the longer term expansions planned across the industry, according to PV Tech’s most recent capacity expansion report.