Plunge of solar glass prices ends in 2014 - IHS

Oct 28, 2014 - Prices for solar glass are to fall as low as USD 4.60 (EUR 3.62) per sq m in 2014, but market analytics firm IHS Technology (NYSE:IHS) expects to see them stabilise next year and start growing again.

In a new report, IHS guides for solar glass prices of USD 5.90/sq m in 2018, which would be an 11% rise when compared to this year’s low. The main reason for the improvement is the European Union’s (EU’s) decision to slap anti-dumping duties on Chinese imports.

Solar glass prices have been on the slide for five years as a result of massive oversupply, which in turn was due to government subsidies in China. In 2009 the price per sq m was around USD 10.40 and it more than halved in five years.

In Europe, Chinese manufacturers are expected to reach a 27% share in solar glass supply this year, as compared to 2.5% in 2010. With these statistics it is no surprise that this May the EU imposed countervailing levies on Chinese solar glass imports for five years. This move will now limit supply in the market, leading to an expected hike in prices, explained IHS solar research analyst Karl Melkonyan.

Over the next five years, even with the duties, the Asia-Pacific region is expected to remain the largest and fastest-growing market for solar glass. IHS pointed out that, still, only “a few” first-tier China-based suppliers can meet customers expectations for high-end products.

(USD 1 = EUR 0.788)

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