Market Analysis

Market Analysis April 2023 - Noticeable price corrections, but no long-term trend in sight

The module prices in all technology classes have dropped significantly since the last survey in March. That was sudden, but not unexpected. Here we see a necessary price correction across the board to maintain demand, which recently threatened to slack off. At the beginning of the year, the predominantly Asian module manufacturers announced lower sales prices for newly produced goods. However, it took a good two months for these goods to arrive in Europe. Now, at least on the spot market, there are already offers with prices that are up to 20 percent below last year's values. The availability of most types is also generally given.

Recently, installers have been slowly but surely putting pressure on stationary wholesalers to carry out downward price corrections as well. In the case of business models based on reliable availability and long-term planning, a quick adjustment to a lower price level usually does not work without financial losses. First, the more expensive goods must be sold at old prices before there is room for the new, cheaper goods. However, since it is always difficult and time-consuming to sell quickly at tariffs above the current market price, the decision to reduce the price at the expense of the trading margin must be made at some point. This has apparently happened to many trading houses over the last few weeks.

However, since demand will continue to rise overall over the course of the year, especially since some inverter and storage manufacturers are now also wanting to sell their products more cheaply, this should be the last clearly visible downward price adjustment for the time being. Even my discussions with various module manufacturers gave no indication of a continuing trend towards falling prices. In some cases, there is more talk of a shortage of cells of the latest generation. Apparently, the higher module efficiencies announced with great enthusiasm are not being achieved to a sufficient degree, so that customers have to make do with the performance classes they are already familiar with.

Overview of price points broken down by technology in April 2023 including changes over the previous month (as of 19 April 2023):

Overview of price points broken down by technology in April 2023 including changes over the previous month