Solar Encapsulation Market

Global Solar Encapsulation Market Size (2024-2029):

The Global Solar Encapsulation Market was worth US$ 3.27 billion in 2023 and is anticipated to reach a valuation of US$ 5.43 billion by 2029 and is predicted to register a CAGR of 8.85% during 2024-2029.

Current Scenario of the Global Solar Encapsulation Market

Solar cells are encapsulated between the glass cover of the solar module and the glass cover of the solar cell inside the module. The purpose of encapsulation is to extend the useful life of such PV installations. Corrosion-resistant, flame-retardant, and hard-wearing materials are commonly used in encapsulations. In most cases, such encapsulation is difficult to automate and necessitates a large amount of energy and material. The use of such encapsulants is progressively increasing in a variety of industries, including construction and automotive.

Multiple layers of barrier films and adhesives are used on the rear sheets of solar modules. The rear sheet construction protects the solar cells from various environmental circumstances such as moisture, UV exposure, and other performance concerns, while also increasing solar module efficiency and lowering partial module costs. The solar cell is protected by the encapsulation film, which ensures its stability and performance. Its job is to keep moisture out while providing optical and electrical transmissivity. Encapsulants offer the possibility of increased efficiencies in the module production process. Encapsulation is an important part of the solar cell manufacturing process. Even the greatest solar cells cannot make good solar modules without a good encapsulation technique.

MARKET GROWTH

Urbanization has increased demand for solar panels, which in turn has increased demand for encapsulation, which could be the market's key driving force.

MARKET DRIVERS

Solar PV modules are in high demand due to rising awareness of renewable energy resources and greater use of solar as a viable source of electricity.

Many government bodies in wealthy countries have set goals to guarantee that solar technology is widely adopted. Government initiatives like these, as well as rising demand for solar PV modules, will spur investment in the solar encapsulation market. Other driving reasons include rising energy demands and massive technological advancements in the solar PV module industry, which have resulted in falling prices. Even though the industry is still in its early stages of development, rising acceptability and a lack of product substitutes will assure consistent market expansion in the future. Existing PV module manufacturers' continuous R&D initiatives will lower encapsulation prices in the future, as well as produce innovative encapsulants for future PV technologies. Further investment in the solar encapsulation business will be attracted in the future as organic solar technology develops.

MARKET RESTRAINTS

Due to increased worries about environmental pollution, the implementation of many restrictions by government and environmental protection groups governing the usage of volatile organic compounds (VOCs) is impeding the global market for solar encapsulation materials. Furthermore, the high cost of solar cell production and installation, as well as the high cost of solar panel installation and maintenance, are causing a decline in solar panel sales, limiting demand for solar encapsulation materials.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Solar Encapsulation Market Analysis By Material:

The ethylene vinyl acetate category dominated the global market in 2023 and is forecasted to continue to grow at the fastest rate during the projection period. This is due to its low sunshine degradability and strong radiation transmission.

Global Solar Encapsulation Market Analysis By Technology:

The polycrystalline silicon solar segment dominated the global market in 2023, and it is expected to remain the fastest-growing category during the forecast period, depending on technology. These solar cells are often used and have an efficiency ranging from 15 to 25%.

Global Solar Encapsulation Market Analysis By Application:

Construction dominated the global market in 2023, according to application, and is expected to remain the fastest-growing category during the forecast period. This is related to urbanization and the expansion of cities as well as the road network.

REGIONAL ANALYSIS

During the forecast period 2024-2029, North America is expected to hold a substantial proportion of the global solar encapsulation materials market. With the growing trend of electrification in the automotive industry and rising fuel prices, customer interest in electric vehicles is rapidly expanding. Key automobile manufacturers are pushing the introduction of self-recharging electric vehicles in response to this trend. For example, Aptera, an American high-efficiency car startup, announced the debut of the world's first Solar Electric Vehicle in 2021, which will require no charge for normal daily use. The introduction of such automobiles and increased integration of solar cells in automotive vehicles is anticipated to accelerate the expansion in the North American market.

Between 2024 and 2029, the Asia Pacific excluding Japan is expected to be the most lucrative market for solar encapsulation materials. Because of the growing acceptance of electrical-powered devices and the deepening of industrialization, there is a tremendous increase in demand for energy. As a result, governments in a number of nations are pursuing a variety of steps to boost renewable energy generation. According to the India Brand Equity Foundation, the government of India announced giving about US$ 616.76 Mn under the Production Linked Incentive (PLI) plan for the construction of solar energy production facilities. In the Asia Pacific excluding the Japan market, a flurry of such initiatives is expected to boost demand for solar encapsulation materials.

KEY PLAYERS IN THE GLOBAL SOLAR ENCAPSULATION MARKET

Companies playing a prominent role in the global solar encapsulation market inculde First Solar Gmbh, Mitsubishi Plastics Inc, Evasa, Cambiosolar, Dow Corning Corporation, Kuraray Europe Gmbh, Renewsys, Solutia Inc, E.I., Dupont De Nemours & Co., Specialized Technology Resources Inc, and Others.

RECENT HAPPENINGS IN THE GLOBAL SOLAR ENCAPSULATION MARKET

• JA Solar has announced the debut of the DeepBlue 4.0 X n-type PV module, marking the company's first foray into the n-type PV industry. DeepBlue 4.0 X comes with the patented GFI (Gapless flexible interconnection) high-density module encapsulation technology, which uses a round ribbon with buffer treatment and optimized encapsulation material to deal with, lowering the likelihood of micro-cracking by reducing mechanical stress at cell interconnections
• A new solar module series from Seraphim Energy Group, a Chinese PV module manufacturer, has been introduced with power outputs of up to 670W and module efficiencies of up to 21.57 percent. In comparison to traditional 2 mm cell spacing, the new product uses 0.8 mm high-density encapsulation technology to considerably increase module power density and ensure product quality.

DETAILED SEGMENTATION OF THE GLOBAL SOLAR ENCAPSULATION MARKET INCLUDED IN THIS REPORT

This research report on the global solar encapsulation market has been segmented and sub-segmented based on material, technology, application and region.

By Material:

• Ethylene Vinyl Acetate
• Non-ethylene Vinyl Acetate
• UV Curable Resin
• Others

By Technology:

• Polycrystalline Silicon Solar
• Cadmium Telluride
• Copper Indium Gallium Selenide
• Amorphous Silicon

By Application:

• Construction
• Electronics
• Automotive
• Others

By Region

• North America - U.S, Canada
• Europe - Norway, Germany, Sweden
• Asia Pacific - China, India, Japan
• Latin America - Brazil, Mexico, Argentina
• Middle East and Africa - Middle East, Africa