China-Based LONGi Ships 18GW+ of Modules in The First Half of the Year

Leading manufacturer of solar modules, LONGi, based in China, has revealed financial figures for the first half of the year. As per the manufacturer, LONGi Green Energy, a member of the Solar Module Super League (SMSL), exported 39.62 GW of monocrystalline silicon wafers. Out of all, 19.47 GW were used internally and 20.15 GW were sold to third parties.

Shipments of monocrystalline modules were 18.02 GW, of which 17.7 GW (including 87.35 MW of BIPV modules) were sold externally and 0.32 GW were for internal usage.

According to the business, import limitations like the Withhold Release Order (WRO) on silicon products from Hoshine Industries and its US subsidiaries have forced it to change its operational strategy by “moving the focus of sales to other critical regions such as Europe.”

According to the report, LONGi’s operating revenue increased by 43.64% year over year (YoY) to RMB50.417 billion (US$7.35 billion) in the first half of the year. Its net profit increased by 29.79% YoY to RMB6.48 billion (US$940 million). RMB6.405 billion (US$930 million) was the net profit after deducting non-recurring gains and losses attributable to shareholders, an increase of 30.58% year over year.

TOPCon ‘Transitionary’

LONGi released details on its novel cell technology for the first time in the interim report.

LONGi said, “The company has developed and reserved a variety of new cell and module technologies, seeking breakthroughs in the n-type TOPCon, p-type TOPCon, n-type HJT and p-type HJT and other highly-efficient cell technologies, and also has developed a Hybrid Passivated Back Contact (HPBC) cell.”

To develop a unique product portfolio with long-term competitiveness, LONGi said it will continue to support the mass production and transformation of innovative, highly efficient cells and modules based on good cost performance and commercialization.

As a guarantee for a technical reserve and mass manufacturing when technological breakthroughs take place, the manufacturing company is now offering silicon wafers to support new cell technology development as well as equipment and auxiliary materials.

The theoretical maximum efficiency of mono silicon cells is 29.4%, the laboratory limit efficiency is 28%, and the mass production efficiency is 26-27%. LONGi has been looking for a way to get from 26% to 27% while spending less money, and the preparations are going well.

Company’s Founder & CEO, Li Zhenguo stated that LONGi believes TOPCon technology will be transitory because its best achievable efficiency is only 1% more than present technologies, adding that HPBC technology had more room for cell efficiency advancement. Li also addressed TOPCon, HJT, and other n-type technologies.

Inner Mongolia Supply Chain Buildout

In the midst of these developments, LONGi is also establishing its first supply chains in Inner Mongolia, including a 46GW mono silicon ingot facility, a 30GW high-efficiency mono cell project, and a 5GW module project in the Ordos Zero-carbon Industrial Park. By the end of Q2 2023, equipment will be installed at LONGi’s Ordos projects.

As a result of import limitations in the US and other important markets, where businesses operating in the province of Xinjiang are alleged to have used forced labor to produce some of their products, many Chinese enterprises have been expanding their supply chains in Inner Mongolia.

China’s Photovoltaic Industry Association has stated that the estimated installments of 205-250GW for this year, of which 85-100GW will be in China, may drive the development of the global PV market.

According to LONGi, its mono silicon wafer shipment goal for 2022 is 90GW-100GW (including self-use), while its module shipment goal was set at 50GW-60GW (including self-use). Its operating income goal for the year is RMB100 billion (US$14.58 billion) or more.