History and Current Status of the Photovoltaic Market in Europe and Japan (2007-2024)

History and Current Status of the Photovoltaic Market in Europe and Japan (2007-2024)

Situation in 2007
Japanese companies led the global solar cell market as of 2006. Sharp maintained the lead with 4347 MW of production, followed by Kyocera with 1,800 MW and Sanyo Electric with 1,550 MW. Sanyo Electric and Mitsubishi Electric showed high efficiency with operation rates of 94% and 82%, respectively, highlighting the technological prowess of Japanese manufacturers. Meanwhile, Q-Cell (2531 MW) from Germany, Suntech (1600 MW) from China, and Motech (1020 MW) from Taiwan showed rapid growth, intensifying competition.
In Europe, the shortage of silicon supply affected production plans and was a key factor affecting competitiveness. Japanese companies were still leading the market with Sharp's plan to produce 710 MW in 2007.

Situation in the 2010s
The 2010s have been documented as a period of intense competition in the solar market. During this period, Chinese manufacturers in particular grew rapidly and established low-cost mass production systems. The Chinese government's subsidy policy also provided a tailwind, and Chinese manufacturers greatly increased their share of the global market.
On the other hand, Japanese companies faced an uphill battle during this period. Major players such as Sharp and Sanyo Electric were unable to remain competitive, and Sharp became a subsidiary of Taiwan's Hon Hai Precision Industry (Foxconn) in 2016. Sanyo Electric was also absorbed by Panasonic, and business restructuring was underway. Kyocera and Mitsubishi Electric shifted their focus to the domestic market while focusing on technology development.
In Europe, renewable energy policies were strengthened and the spread of solar power generation progressed, especially in Germany. In particular, the introduction of feed-in tariffs (FIT) was a driving force for market expansion and accelerated the introduction of residential and commercial solar power generation systems.

The European Market in the 2020s
In the 2020s, the European PV market again experienced rapid growth, reaching approximately US$372.7 billion in 2023 and is projected to grow to US$709.9 billion by 2032. Factors supporting this growth include government incentives, renewable energy mandates, and reductions in solar-related costs.
Leading companies include Germany's Q-Cell, Spain's Iberdrola, and China's JinkoSolar, with Chinese manufacturers in particular dominating the market through low-cost, high-volume production. On the other hand, market growth slowed in some regions, such as Spain, due to lower energy prices and reduced subsidies.

Trends of Japanese Companies (2007-2024)
Japanese companies, which once accounted for 90% of the global market share in the 1980s, have lost much of their share since the 2010s. The rise of Chinese and Korean manufacturers is the main reason for this, and they are facing further struggles in the 2020s.
Meanwhile, renewable energy is becoming more prevalent in the domestic market, and models that utilize self-consumed solar power generation and graduated FIT electricity, backed by government support, are attracting attention. In addition, Japanese companies still lead the world in the development of next-generation perovskite solar cells, maintaining their advantage in terms of size and durability.

SUMMARY
In 2007, Japanese manufacturers were leading the European market, but since the 2010s, Chinese and Korean manufacturers have rapidly emerged and the competitive landscape has changed dramatically. On the other hand, Japan is maintaining its competitiveness by focusing on the domestic market and new technology development. In the European market, policy influences and competition among companies are the factors that determine market growth, and the transition to renewable energy will continue to support market expansion.