Asia Solar PV Modules Manufacturing Cost Analysis

Report Overview

This report presents insights into the manufacturing cost of solar PV modules in Asia. The average cost breakdown provides a detailed analysis of various cost components and their cost movement, along with the manufacturing cost analysis of a hypothetical 200kW project.

Key Insights

Key insights gathered from the analysis of solar PV module manufacturing cost include:

• Annualized average cost of solar PV module manufacturing was in the range of USD 0.24 – USD 0.38 per Watt

• Operational & maintenance costs accounted for 64% to 72% of the overall manufacturing cost of solar PV modules in Asia

• While factory overhead costs are increasing for companies, operational & maintenance costs are in the decline. This decline in operational & maintenance costs is driven by reductions in labor costs and energy consumption.

• 56% to 59% of administrative costs are attributable to communication & IT costs.

• Efficient supply chain management and waste disposal practices helped reduce additional operational expenses, particularly in Japan's high-regulation markets

• Advanced maintenance practices extended equipment lifespan, reducing depreciation costs. Chinese manufacturers led in equipment optimization strategies. For instance, Trina Solar has implemented AI-driven monitoring systems that continuously assess the performance of solar panels, enabling predictive maintenance and timely interventions.