Plans by Trina Solar to build-out its next-generation cell technology, despite industry conditions have been secured with a structured term loan facility of up to US$100 million dollars with Standard Chartered Bank. With the PV industry suffering from overcapacity, the majority of PV manufacturers are in cash preservation mode and have put a hold on capital spending. The loan will be used exclusively to Trina’s East Campus project, which includes 500MW of cell and module capacity and feature its high-efficiency Honey cell technology.
Previously, Trina Solar had said the expansion would take place in 2012 and provides some hope to equipment suppliers providing leading-edge technology in what is expected to be a lean year for sales.
NPD Solarbuzz recently said that it expected a significant fall in capital spending in 2012 and that equipment suppliers were at risk of experiencing year-on-year revenue declines in the 60-70% range.