Bookmark and Share

Foxonn looks to expand Solar manufacturing in Japan after the Yen plunge

0 Comment

Japanese Solar Boom

The Japanese solar market has been booming in the last year, thanks to a very generous feed in subsidy being given by Solar Panelsthe government. This has led to investors pouring money into the solar farm market with a massive 400 MW plant being planned by a German firm. Like other solar booms, we expect that this boom will also peter out but till the music lasts every one will dance.

The Japanese Government announced a very lucrative subsidy scheme for solar energy in Japan following the Fukushima disaster. Japan gets only 2% of its energy requirements from green energy compared to around 20% for Germany. Though Japanese solar panels used to be the world leaders till 2007, lack of government support and competition from solar panel producers in China has made them also rans. Though the Japanese solar panel producers are not being able to take advantage of the generous subsidy, Japanese home builders are not going to lose the opportunity. Big home builders like Sekisui House and West Holdings have made billion dollar investment plans to get into solar energy. Softbank already announced plans to build 10 MW solar parks all over the country.

West Holdings has organized a consortium of 12 investors including solar cell and solar panel producers. The company is going to build 250 installations with around 500 MW of capacity. Note home builders have a natural advantage as they can easily install solar panels in newly built housing projects. They also have easy access to solar installers and financing.

Read more about Japanese Solar Panels Manufacturers & Reviews.

Foxconn to invest in Japanese Solar Market

Foxconn has been planning to make massive investments into the solar market both by building farms and making solar panels. Though, the company has not done much till now. It does some contract manufacturing for companies like MEMC, but on a very small scale. However, that might change as the company looks to set up manufacturing in Japan. The recent yen plunge has made it attractive to make solar panels in Japan and the booming domestic market provides ready-made demand. The company is also planning to build / buy a number of utility scale solar power plants in China, where the demand might go upto 10 GW. Japan and China together could make upto 50% of the global demand in 2013 and Foxconn is well positioned in both markets.


Hon Hai Precision Industry (2317) Co. plans consignment production of solar panels in Japan as early as next year, the Nikkei newspaper reported today.The Taiwanese electronics maker will soon begin talks with Japanese manufacturers of panels and parts to begin production on a contract basis, according to the Nikkei.Hon Hai can reduce currency risks by making panels in Japan, the paper said, citing an unidentified Hon Hai executive. The company, which made about 30 megawatts worth of solar panels last year, has a less than one percent share in the global market, according to the paper.


Sneha Shah

I am Sneha, the Editor-in-chief for the Blog. We would be glad to receive suggestions, inputs & comments on GWI from you guys to keep it going! You can contact me for consultancy/trade inquires by writing an email to

No Responses so far | Have Your Say!