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Shipping Energy: Chinese Solar Exports
19/12/2023
With an ever-increasing focus on sustainability, more and more attention has been turned to solar energy and solar power-based commodities. As such, there has been a major rise in solar exports, with commodities like solar batteries, PV modules, panels, and silicon Wafers being shipped globally.
One of the major global leaders in the manufacturing and exportation of solar commodities is China. In recent years, China's solar thermal utilisation has accounted for more than 74% of the world's annual production and about two-thirds of the world's holdings. Not only are they the largest producer and user of solar water heating systems in the world, but their solar thermal technology, products, and equipment have been exported to more than 200 countries and regions around the world, including Europe and the United States.
As well as forming a vast proportion of the global energy market, their role as major solar exporters has also shaped China’s foreign trade market. At MSC, we understand the importance of thriving in a global market. That’s why we provide our solar clients with universally professional local services and solutions on a global scale.
Pressure, Technology, and Sustainability Helping to Boost China’s Solar Industry and Production
What are the key factors boosting the solar energy market growth? There are several key factors that are influencing the growth of the solar energy market, including:
Pressure, Technology, and Sustainability Helping to Boost China’s Solar Industry and Production
What are the key factors boosting the solar energy market growth? There are several key factors that are influencing the growth of the solar energy market, including:
Technology advances
The continuous development of technology means the efficiency of solar cells has been improving. Subsequently, the cost of solar power has continued to decline, which supports the development of the solar energy industry.
Policy support
Many countries have implemented various forms of solar subsidies and tax incentives, which have helped to drive the development of the solar industry.
Competitive pressure
Companies are becoming more innovative when it comes to improving their products, reducing costs, and increasing efficiency due to industrial competition to acquire a higher market share.
Energy demand
The increasing energy demand is driving the development of the solar industry. This is especially true in developing countries and regions, where electricity demand will increase significantly in the coming decades.
Environmental protection
As the sense of environmental protection is rising, the demand for renewable energy sources like solar energy is also increasing. In addition, governments and economies are becoming more invested in sustainability and environmental protection which also drives industrial development.
The economic situation
Changes in the global economy have also impacted the rate of development in the solar industry. For example, increased economic developments can contribute to greater government support in the solar industry, which in turn affects and increases the rate of growth.
What are the prospects of solar exports? Exports of solar products have become an important grasp of China's stable foreign trade and economic promotion, while also making an important contribution to the global energy transition and reduction of carbon emissions.
In 2022, the export value and volume were at a record high. The total export of solar products (silicon wafers, cells, modules) exceeded 51.2 billion U.S. dollars, an 80.3% year-on-year increase. Of this PV module exports exceeded 153 GW (a 55.8% year-on-year increase), silicon wafer exports saw a 60.8% year-on-year increase (around 36.3 GW), and cell exports saw an astronomical 130.7% year-on-year increase (approximately 23.8 GW).
Moving forward, solar exports look set to rise, with, the export value of PV modules reaching 47.8 billion yuan (a 9% year-on-year increase) from January to February 2023.
Which are the Main Solar Export Markets?
Currently, European and American markets are the major targets for solar exports.
Which are the Main Solar Export Markets?
Currently, European and American markets are the major targets for solar exports.
Aside from these major trade lanes, in the Trans-Pacific most of the shipment is shipped out of Southeast Asia Origins such as Thailand, Vietnam, and Malaysia.
Because of our global agency set-up and seamless internal communication, MSC can provide customers shipping solar commodities with exceptional visibility of their cargo throughout its journey.
For example, in Europe and shipping across the Mediterranean, our scale of operation combined with our wide service scope coverage means solar clients can select from multiple options to meet their specific transportation needs and project requirements.
Similarly in Brazil, where MSC is now taking leadership of the market share, we have now added ad-hoc services of transshipment via Europe to compliment the traditional direct call services. This enhancement has enriched our South American services, particularly in northeast Brazil where the solar industry has seen numerous large scale ongoing projects.
Choosing Between Normal Distribution and Project Shipment
What should the shipper look for with their solar transport? There are normally two categories of transportation requirements for solar clients: normal distribution and project shipment.
Choosing Between Normal Distribution and Project Shipment
What should the shipper look for with their solar transport? There are normally two categories of transportation requirements for solar clients: normal distribution and project shipment.
Because both transportation types ship in larger quantities per batch compared to other types of commodities, they often require more space onboard, and more frequent shipments per week to cover the needs of transportation.
This is exactly why solar customers will opt to partner with a company like MSC. Not only do we offer global port coverage and dedicated local teams, but our experience in solar exports and imports enables us to offer bespoke solutions to meet the transportation expectations of our clients.
We understand the importance of ensuring that your solar exports are available worldwide and that as a business you know that your commodities will be shipped quickly and efficiently.
As a business, MSC offers wide coverage of service scope. Whether you’re shipping from the Far East to Europe, or the USA we offer close to the market strategies designed to help you stay ahead of your competition and achieve your next big win.
Our dedicated teams of local experts are on-hand to provide you with increased insight into local regulations and services. We will ensure we fully understand the requirements of your solar exports so we can provide specialised recommendations that minimise any potential risks and achieve the achieve smooth delivery of your shipment, safely and economically.
Contact us today to explore how we can assist you with your solar export requirements, either in China or worldwide.
