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The future of South-east Asia's booming solar industry, which produces the most panels in the world after China, is being thrown into doubt as the US looks set to impose hefty tariffs on the region.
Chinese firms that set up factories in the region over the last decade are now being accused of skirting US import levies on their home market. At least three-including Longi Green Energy Technology and Trina Solar have scaled back operations in Thailand, Vietnam and Malaysia, which, along with Cambodia, are being targeted by Washington.
The four countries account for more than 40 per cent of solar module production capacity outside of China, according to BloombergNEF (BNEF), and other Chinese firms with facilities there are hunting for markets to replace the US.
"The mood of the suppliers is to pack the lines, especially the cell lines, and move them to either Indonesia, Laos or the Middle East," said Ms Yana Hryshko, the head of global solar supply chain research at Wood Mackenzie. Some Chinese manufacturers are waiting to see what the tariff level will be before deciding if they need to relocate, she said.
Bu hikaye The Straits Times dergisinin August 22, 2024 sayısından alınmıştır.
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Bu hikaye The Straits Times dergisinin August 22, 2024 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
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