Brazil imported 7.8 GW of solar modules in H1

Brazilian consultancy Greener says that Brazil imported 7.8 GW of solar modules in the first half of this year, down 21% year on year. However, it says a reduction in distributors’ inventories and module prices could drive up cost competitiveness in the second half.

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From pv magazine Brazil

During the first half of this year, a survey conducted by consultancy Greener shows that Brazil imported 7.8 GW of PV modules, marking a 21% decline from the corresponding period in 2022, when the import volume was 9.9 GW.

Greener said that the demand for large-scale utility PV projects counterbalanced the sluggishness in the distributed generation market from January to June, offsetting the reduction in imports. In the distributed generation sector, constituting two-thirds of the Brazilian PV market, system sales volume experienced a notable drop of 60% to 70% in the first quarter, according to Greener.

Lower sales have prompted equipment distributors to accumulate larger inventories, which, coupled with the decrease in polysilicon and module prices, could trigger cost reductions and potentially revive demand in the rooftop segment.

In July 2023, the price of polysilicon plummeted to levels below $9.00/kg, representing a staggering decline of over 70% from the peak of $30.80/kg in February, as indicated in the report. This significant price shift could have a substantial impact on lowering the costs of photovoltaic systems in the medium term, considering that silicon constitutes roughly 60% of photovoltaic module expenses, which in turn account for 38% to 50% of the final system price.

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