Inverter market to shrink to $6.7 billion


Inverter manufacturers are set to feel the squeeze this year as pricing pressures, driven by Chinese demand and cheaper utility scale products, combine to reduce global revenues by a predicted 5%.

The global PV inverter market will still amount to a healthy US$6.7 billion in 2013, according to the IMS Research report "The World Market for PV Inverters – 2013 edition."

The report, produced by parent company IHS, also predicts revenues will rebound strongly next year to rise 11% to $7.3 billion.

The report shows revenues falling as shipments increase, mirroring the pattern, if not the scale, of price pressures seen in the solar module market.

Shrinking demand from Europe, the Middle East and Africa – which will account for 37 per cent of the global market this year compared to 82% in 2010 – will come as demand rises in China, where inverter prices are at their lowest and are predicted to fall to $0.09 per watt this year.

The trend for utility scale inverters, which are pound-for-pound cheaper than smaller products, is an aggravating factor.

Cormac Gilligan, market anlyst for PV inverters at IHS, says the Japanese inverter market will offer temporary relief with the three-phase 250 kW and above market set to grow from $50 million last year to $290 million. But the Japanese inverter boom is set to be short-lived and expected to fall back again next year after utility scale projects are rolled out.

Manufacturers can anticipate more sustainable revenue growth in the U.S. where, according to IHS, the low-power three-phase string market will double this year to more than $100 million on the back of demand for fast installation, wall mounting and long warranties.

Popular content

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact:


Related content

Elsewhere on pv magazine...

Leave a Reply

Please be mindful of our community standards.

Your email address will not be published. Required fields are marked *

By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.

Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.

You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.

Further information on data privacy can be found in our Data Protection Policy.