Speaking on the first day of Intersolar 2024, Daniel Schmitt, CEO of Bavaria-based equipment supplier Memodo, said that the current fierce competition in the photovoltaic industry at all levels of the manufacturing chain, terminal installation, etc. will continue, and prices have not yet bottomed out.

Schmitt said that due to the sharp increase in energy prices caused by the war in Ukraine, the European photovoltaic industry has enjoyed "the largest subsidy in the history of the photovoltaic industry." The increase has led to a purchasing boom, and distributors like him have over-ordered inventory to meet non-existent demand.

But as the energy crisis eases and the "subsidy" disappears, the market has shifted from a seller's market to a buyer's market, causing prices to fall sharply. Schmitt said that for companies like his, warehouses are full of unsold inventory, and competition on price is also "very fierce."

"The effective subsidies have been removed, and now we also need to realize that the storm is not over," Schmitt said. "There is fierce competition at all levels - installers, distributors and manufacturers; the situation is crazy. Everyone is giving crazy prices, and the end consumer is very lucky at the moment. So tell all your friends. Now is a good time to buy." Schmitt predicted that this situation will continue and prices will fall further. "Banks are no longer willing to provide funds to photovoltaic companies. This may lead to the bankruptcy of the entire market and industry chain, and then we will see very bad situations, such as fire sale prices. We have seen this in some aspects, but it has not yet reached the lowest level." He said that the problem is also related to the level of "price transparency" in the photovoltaic industry, such as online markets such as eBay have become popular sales channels for photovoltaic equipment. "Currently, one of the largest distributors of photovoltaic products (such as inverters, modules, etc.) is probably eBay. You can find all products and all kinds of prices on it. This is crazy, and this situation always appears in the market cycle." He finally called on the entire industry to think more carefully in the future boom period, whether the market demand is real or fictitious. So, I'm sorry, I don't have an answer yet. I can only ask everyone to think again about which needs are the real needs, and hope that we can make better decisions next time.trina solar panels