China on track to become top solar market by 2013

The Eurozone crisis and a massive drop in prices of solar panels are combining to make China the solar power superpower.

The world’s five biggest producers of polysilicon solar modules led by the Chinese companies Suntech Power Holdings Company and Yingli Green Energy Holdings Company will increase shipments of solar panels from 27% to 37% from 2011 levels to satisfy growing domestic demand.

China is trying to stimulate its domestic photovoltaic industry aided by a 48% drop in panel prices in 2011 that continues to boost sales. As a result, China will dominate solar energy growth this year and become the top solar market in 2013.

China’s market totaled 2.57 gigawatts in 2011, almost 9% of what was sold worldwide. China may install as much as 5.5 gigawatts this year and the same amount in 2013.

The five top companies by shipments of silicon panels in 2011 were Suntech, Yingli, Trina, Canadian Solar Inc., and Hanwha SolarOne Co. They expect combined sales of solar modules this year to range from 9.3 gigawatts to 10.1 gigawatts compared to 7.4 gigawatts in 2011.