The preliminary ruling of U.S.’s new phase of anti-dumping (AD) duties severely injured Taiwanese PV manufacturers’ operation in the third quarter of 2014. Most Taiwanese makers had turned profits into losses in the quarter, and high efficiency technologies and broader deployment would be crucial for them to survive.
Gintech, Motech, Neo Solar Power (NSP), E-Ton Solar and Tainergy all showed losses in their financial reports of 3Q14 and it was mainly blamed onto the unexpected high AD rates announced in July which caused a rapid order reduction and price decrease. Gintech was hit by a 39.88% yearly loss in the 3Q, met an after-tax net loss of NT$437 million. Motech’s 3Q14 financial report unveiled a 13.7% gross loss and a NT$73-million net loss after tax. The losses in the 3Q14 offset Motech’s profits earned in the first half of 2014 and consequently led to a NT$559 million net loss after tax from Q1 to Q3. Meanwhile, NSP’s net loss after tax in the 3Q was NT$153 million; E-ton, NT$174 million; Tainergy, NT$11.55 million.
On the contrary, Sino-American Silicon Products’ (SAS) solar business grew 67.1% from 2013. Its growth is explained by performances of Sunrise Global Solar Energy, a Taiwan-based PV manufacturer which has been acquired by SAS this August, and progressing PV module orders to Aleo, which was acquired this year. The monthly revenue in October, NT$1.148 billion, increased 18.8% compared to September. SAS expects a full utilization rate of mono-si solar cell in the fourth quarter and forecasts a constant growth for 2014.
Giga Solar is another PV manufacturer which profited in the third quarter of 2014. Its conductive paste products helped to lead a NT$2.448 billion quarterly revenue, increased 9.71% compared to the previous quarter. The net income after tax reached NT$374 million, growing 50.88% from the second quarter of 2014. The profit was mainly driven by demands from China.
“Although we suffered from the AD duties in the third quarter, we expected more orders starting from mid-September,” said and Taiwanese PV industry insider. “The foreseen orders are believed to create more demands in the fourth quarter and will improve utilization rates and operational performances. Yet, to be profitable or not is determined by if the ASP of products will reach a higher level.”
Green Energy Technology’s (GET) monthly income in October increased 18% to NT$1.55 billion, representing the sign of revival. Demands to high efficiency si-wafers and solar cells may help Taiwanese makers to overcome certain challenges.
