The Chinese manufacturer plans to invest 18 billion yuan ($2.54 billion) to construct a facility in eastern Hefei province that will be able to produce 60 gigawatts of solar panels a year, as stated in a filing to the Shenzhen stock exchange on March 27. It didn’t provide a timeline.
The plant’s maximum output is double the 30 gigawatts of capacity installed in China in 2019, and would be able to supply to almost 51% of solar installations worldwide. The project will boost GCL System’s ability to produce panels more than nine-fold from 7.2 gigawatts.
The world’s biggest solar-panel maker, JinkoSolar Holding Co,. has 16 gigawatts of capacity.
GCL System said it will spend 5 billion yuan on the first phase of the project, for 15 gigawatts of production capacity. Another three phases will be implemented later, with the timing based on sales and utilization of the facility, it said.
The company said it wants to seize opportunities that are emerging with solar-power costs now closer to coal power and meet demand for the new type of larger photovoltaic panels. GCL System will use its own funds and loans to finance the investment, it said.
GCL System has a market value of 16.7 billion yuan, and had 4.03 billion yuan of cash as of the end of the third quarter last year.
Reference- BloombergNEF, GCL System website & PR, China News Agency