Copper Consumption to be Boosted Significantly by New PV Capacity in Major Areas Worldwide in the Next Few Years

SHANGHAI, Dec 23 (SMM) - Under the concept of carbon peak and carbon neutrality, renewable energy industries such as wind power and photovoltaic power generation will usher in the peak of construction. However, affected by supply chain prices and other factors, the installed capacity of China's photovoltaic industry in 2021 was less than expected and is expected to be lowered. Wang Bohua, honorary chairman of the China Photovoltaic Industry Association, pointed out that the forecast of China's photovoltaic installed capacity in 2021 will be lowered from 55-65 GW to 45-55 GW. 

He predicted that the installed capacity in 2022, driven by the huge reserve of domestic photovoltaic power generation projects, may increase to more than 75 GW. Compared with this year's forecasted installed capacity, the above forecast means that there may be 36-66% of new installed capacity growth next year, and the scale of China's photovoltaic installed capacity may increase substantially next year.

The copper consumption of new photovoltaics projects in major regions of the world will increase in the next few years. SMM estimates that the consumption in 2021 will be 564,000 mt, including 189,000 mt in China, and will be1.23 million mt globally in 2026, including 538,000 mt in China, with an average annual growth rate of 13% in the next few years. This will boost the consumption of copper cathode significantly.