Demand for Europe-made PV production systems up 62% as European demand surpasses Asia

Facebook
Twitter
LinkedIn
Reddit
Email
A third of all sales of European PV equipment were for module production in Q2. Image: Solar World

Demand for European-made PV production equipment jumped by 62% in Q2 2022, with European orders surpassing those from Asian countries for the first time, according to research by engineering industry association VDMA.

European manufacturers saw sales of their PV engineering systems rise 62% on Q1, with sales in Europe soaring by a factor of four. Similarly, European orders received in the first two quarters of 2022 have already exceeded the value of total European orders in 2021. And VDMA is expecting this sales growth to continue into Q3.

A third of sales are attributable to systems for module production, said VDMA, which has been compiling such statistics since 2008.

“In the past, the Asian market was the largest for German PV production machines and system manufacturers, but orders in Europe have increased since the first quarter of 2022 and are expected to continue to increase,” said Jutta Trube, VDMA’s department head for Photovoltaic Production Equipment.

“Generally we expect to continue to see strong demand as various countries show increasing interest in new local PV production.”

Indeed, Europe, like the US and India, has been very explicit in its desire to establish a regional PV manufacturing base. However, while the US’s Inflation Reduction Act (IRA) looks set to turbocharge solar manufacturing and with India aiming to add 65GW of PV module manufacturing capacity through an extended incentive scheme, Europe is yet to announce a production strategy as coherent and well funded.

PV Tech Premium has reported how European solar PV manufacturers struggling with soaring electricity prices have flagged concerns that the continent is falling behind the US and India in terms of policy support for the sector.

“Currently countries like USA and India are introducing very attractive initiatives to boost PV production; the same is required in Europe,” said Peter Fath, managing director of RCT Solutions and chairman of the VDMA Photovoltaic Production Equipment department. 

“An increase in initiatives in Europe and the political will to establish PV production in the entire value chain, are an opportunity for the further use of PV production resources in the EU.” 

The CEOs of companies such as First Solar, BayWa r.e. and Meyer Burger have written to the European Commission (EC) to call for urgent action to support the redevelopment of European PV manufacturing.

On the same day, the EC formally endorsed a new Solar Photovoltaic Industry Alliance, with the aim of scaling up the manufacturing of innovative PV products and components.

Despite the strong demand statistics outlined by VDMA, European solar manufacturing is at increasing risk from high energy prices, with Maxeon forced to shutter one of its module facilities in France.

Around 35GW of PV manufacturing projects in Europe are at risk of being mothballed as elevated power prices damage the continent’s efforts to build a solar supply chain, research from Rystad Energy said.  

29 November 2022
PV ModuleTech EMEA in Malaga on 29-30 November 2022 will address the factors underpinning the changing PV module landscape, gathering together all the key stakeholders across the value-chain from module production to field testing. Join us for presentations from the leading players in the sector, clearly identifying the opportunities and challenges set to impact module supply to Europe and the Middle-East over the next few years.
28 June 2023
Join us in London for 2 days as we look at the UK’s new landscape for utility & rooftop solar. Understand the new opportunities within this GW-plus annual market!

Read Next

November 25, 2022
Ukrainian energy company DTEK has said it is ready to restart operations at the 10MW Tryfonivska solar power plant in the liberated Kherson region.
November 24, 2022
France-headquartered renewables provider Voltalia has signed a 350MW, 15-year solar power purchase agreement (PPA) with Renault Group.
November 23, 2022
Europe will benefit from a new research and innovation (R&I) project intended to advance the continent’s tandem solar PV cell manufacturing and production capabilities, focusing on tandem silicon-perovskite cells.
November 23, 2022
Prescinto, a renewable energy asset performance management (APM) platform, has entered into a partnership with Greek solar developer SunSolarWind IKE to apply its APM software to 70MW of solar PV projects.
November 22, 2022
Renewables developer Low Carbon has started building four solar farms in the Netherlands totalling 53.1MWp, with Belectric serving as engineering, procurement and construction (EPC) provider.
November 18, 2022
RWE, the German renewable energy developer, will offer profit returns to municipalities where one of their wind or solar farms is located as part of an expansion of the German Renewable Energies Act (EEG).

Subscribe to Newsletter

Upcoming Events

Solar Media Events
November 29, 2022
Malaga, Spain
Solar Media Events
February 22, 2023
Leonardo Royal Hotel London Tower Bridge
Solar Media Events
March 14, 2023
Berlin, Germany
Solar Media Events
March 21, 2023
Lisbon, Portugal
Solar Media Events
June 6, 2023
Napa, USA