History and Current Status of the Solar Cell Market in Europe and Japan (2007–2024)

History and Current Status of the Solar Cell Market in Europe and Japan (2007–2024) The Situation in 2007 As of 2006, Japanese companies led the global solar cell market. Sharp maintained its top position with a production volume of 4,347 MW, followed by Kyocera at 1,800 MW and Sanyo Electric at 1,550 MW. In terms of capacity utilization, Sanyo Electric achieved 94% and Mitsubishi Electric 82%, demonstrating high efficiency and highlighting the outstanding technical capabilities of Japanese manufacturers. Meanwhile, Germany’s Q-Cells (2,531 MW), China’s Suntech (1,600 MW), and Taiwan’s Motech (1,020 MW) showed rapid growth, intensifying competition. In Europe, a shortage of silicon supply affected production plans and became a key factor influencing competitiveness. Sharp announced a plan to aim for 710 MW of production in 2007, and Japanese companies continued to lead the market. The Situation in the 2010s The 2010s are remembered as a period of intensified competition in the solar cell market. During this period, Chinese manufacturers in particular grew rapidly and established systems for low-cost mass production. Supported by the Chinese government’s subsidy policies, they significantly expanded their share of the global market. Meanwhile, Japanese companies struggled during this time. Major players such as Sharp and Sanyo Electric were unable to maintain their competitiveness, and Sharp came under the umbrella of Taiwan’s Hon Hai Precision Industry (Foxconn) in 2016. Sanyo Electric was also absorbed by Panasonic, and business restructuring proceeded. Kyocera and Mitsubishi Electric shifted their focus to the domestic market while continuing to concentrate on technological development. In Europe, renewable energy policies were strengthened, and the adoption of solar power progressed, particularly in Germany. In particular, the introduction of the Feed-in Tariff (FIT) system served as a driving force for market expansion, accelerating the adoption of residential and commercial solar power systems. The European Market in the 2020s Entering the 2020s, the European solar power market experienced rapid growth once again. The market size reached approximately $372.7 billion in 2023 and is projected to expand to $709.9 billion by 2032. Factors supporting this growth include government incentives, mandatory renewable energy targets, and reductions in solar cell-related costs. Major companies include Germany’s Q-Cells, Spain’s Iberdrola, and China’s JinkoSolar; Chinese manufacturers, in particular, dominated the market through low-cost mass production. On the other hand, there were regions where market growth slowed due to falling energy prices and reduced subsidies, such as in Spain. Trends Among Japanese Companies (2007–2024) Japanese companies, which once accounted for 90% of the global market share in the 1980s, have seen their share decline significantly since the 2010s. The rise of Chinese and South Korean manufacturers is the primary cause, and they are facing even greater challenges in the 2020s. Conversely, in the domestic market, the adoption of renewable energy is advancing, and models utilizing self-consumption solar power generation backed by government support, as well as electricity generated after the end of the Feed-in Tariff (FIT) program, are gaining attention. Furthermore, Japanese companies continue to lead the world in the development of next-generation perovskite solar cells, maintaining a competitive edge in terms of cell size and durability. Summary While Japanese manufacturers led the European market in 2007, the competitive landscape has shifted significantly since the 2010s due to the rapid rise of Chinese and South Korean manufacturers. However, Japan is maintaining its competitiveness by focusing on the domestic market and the development of new technologies. In the European market, policy influences and inter-company competition are key factors driving market growth, and the transition to renewable energy is expected to continue supporting market expansion.