An increase in shipping times and freight rates due to violence in the Red Sea could carry implications for renewable energy and solar products heading to Europe and the US.
Module price increases, higher raw material costs and logistical challenges will pull down the return on equity (ROE) for 25GW of India solar projects, with 5GW of those at high risk given when they submitted their bids.
PV Tech’s new series of insight-led webinars, PV Tech Insights, kicks off this week to discuss that very challenge, with S&P Global’s George Griffiths joining us to share his expert insight into shipping and logistical challenges facing the solar supply chain.
US solar manufacturers can compete with Chinese companies for US PV projects given additional import costs and modules making up less than half a project's costs, while also ensuring a secure supply to the US market, lowering the carbon intensity of products and exploiting strong market demand, says Michael Parr, executive director of the Ultra-Low Carbon Solar Alliance (ULCSA).
The foundation of a “transformed Maxeon Solar Technologies” is nearly in place, according to the company’s CEO, after it addressed its logistical failures, experienced strong demand for its products and landed a supply contract with US residential installer SunPower.
Delays in the shipping industry have likely peaked already, with the turnaround time for containers likely to fall month after month moving further into 2022. While the price of moving containers from China to Europe and the US remains very high, they have come down slightly since last year.
The price of shipping containers from Asia to Europe and North America remains high but should start to come down in the new year, although the main price drops won’t occur in earnest until 2023 when new capacity is brought online. That additional capacity, however, may be offset by new International Maritime Organisation (IMO) rules to address the industry’s emissions
Trina Solar has revealed a new freight packing solution for its larger modules that it said will reduce the costs associated with shipping that have soared since the start of the pandemic
