Renewable Manufacturing Costs Up to 200% Lower in China, Says Woodmac
Wood Mackenzie says in its latest report that low prices and integrated supply chains allow Chinese manufacturers to
PV Magazine International 3:25 pm on May 27, 2024
China-based renewable manufacturers offer prices up to 200% lower than Western counterparts, leading to over 65% global demand supply by 2023. Low costs and integrated supply chains have bolstered exports growth (35%) despite inflation and higher production expenses. Companies eyeing international investments favor greenfield projects in stable markets with high power demands and reliable revenue flows. China's solar module capacity surged past 670 GW by April, outpacing European and U.S. developments.
- Manufacturing Cost Advantage: Chinese manufacturers provide significantly cheaper renewable energy products than Western companies.
- Global Market Share Growth: By leveraging low costs and integrated supply chains, China dominates over 65% of the global renewables demand.
- Export Expansion: Chinese manufacturers experienced a 35% export growth despite economic challenges due to strategic targeting of foreign markets with local content requirements.
- International Investment Trends: Renewable energy investors are increasingly interested in overseas projects, preferring established markets with predictable returns and infrastructural support.
- China's Solar Leadership: Chinese solar production capacity exceeded 670 GW by April, indicating its ascension in the global renewables landscape.
https://www.pv-magazine.com/2024/05/27/renewable-manufacturing-costs-up-to-200-lower-in-china-says-woodmac/