Asia Pacific Solar Backsheet Market Research Report Information By Type (Fluoropolymer and Non-fluoropolymer) – Asia Pacific Market Forecast Till 2032

Asia Pacific Solar Backsheet Market Overview

Asia Pacific Solar Backsheet Market Size was valued at USD 0.61 Billion in 2022. The Asia Pacific Solar Backsheet market industry is projected to grow from USD 0.67 Billion in 2023 to USD 1.46 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 10.20% during the forecast period (2024 - 2032). The growing global need for clean and cost-effective energy alternatives around the world, increasing PV installation as well as policy support from the government to adopt renewable technologies are the main market drivers anticipated to propel the Solar Backsheet market in the Asia Pacific.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

APAC Solar Backsheet Market Trends

• The increasing prevalence of awareness of renewable energy and favorable government policies for the adoption of renewable technologies are driving the market growth.

The surge in global solar panel installations has created significant growth prospects for the Solar Backsheet Market. With the increasing demand for clean and sustainable energy solutions, various entities, including governments, businesses, and individuals, are increasingly investing in solar projects. Solar backsheets, a crucial component in solar panel manufacturing, play a vital role in safeguarding solar cells from environmental elements. According to the British Petroleum Statistical Review of World Energy 2021, the Asia-Pacific region leads in solar power generation, with China being a major contributor with around 175 GW of solar PV installations. The country is anticipated to double its installation capacity by 2025, which is expected to drive the backsheet market in the forecast period. Additionally, Australia's emission projections for 2022, as reported by the Department of Industry, Science, Energy, and Resources, forecast a significant increase in large-scale solar power generation capacity and rooftop PV capacity by 2035.

In Japan, the government announced plans to transition from a Feed-in-Tariff (FiT) to a Feed-in-Premium (FiP) program starting in April 2022. This initiative enables renewable energy generators to sell electricity in the spot market at a premium to wholesale prices. The launch of the first FiP by the Japanese Ministry of Economy and Trade Industry resulted in the allocation of 128.94 MW capacity among five bidders, with X-Elio securing 15 MW solar PV capacity in Japan's inaugural feed-in premium (FiP) auction in August 2022. Meanwhile, the Thai government is actively promoting renewable energy installations nationwide to achieve a reduction of greenhouse gas emissions by 20-25% within seven years. Various incentives and regulatory support from the government have further bolstered the solar power market in Thailand. Thus, driving the Solar Backsheet market revenue.

APAC Solar Backsheet Market Segment Insights:

Solar Backsheet Type Insights

The Asia Pacific Solar Backsheet market segmentation, based on Type, includes Fluoropolymer and Non-fluoropolymer. The fluoropolymer segment dominated the market. The fluoropolymer solar backsheet comprises three layers: inner, middle, and outer, which are affixed to the outermost layer of a solar panel. The inner and outer layers of the solar backsheet primarily consist of polyvinyl fluoride (PVF) or polyvinylidene fluoride (PVDF), while the middle layer is composed of polyethylene terephthalate (PET or polyester). In 2021, fluoropolymer backsheets held the majority market share. Their higher cost compared to non-fluoropolymer backsheets is justified by additional safety features, such as proven hydrolytic stability and excellent resistance to weathering effects, attributed to the PVF or PVDF layer. South Korea has pledged to increase the proportion of renewable energy sources in its electricity supply, gradually phasing out coal and nuclear power from the energy mix. In December 2020, the country introduced its Ninth Basic Plan for Long-Term Electricity Demand and Supply 2020-2034, aiming to elevate the share of renewable energy in the energy mix from 15.1% in 2020 to 42% by 2034. Solar PV is anticipated to play a pivotal role in reducing reliance on fuel imports for thermal power generation, thereby bolstering the solar energy market in the upcoming years and driving increased demand for fluoropolymer backsheets.

Figure 1: Asia Pacific Solar Backsheet Market, by Type, 2023 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Solar Backsheet Country Insights

China, estimated to be the predominant country in the region, boasted approximately 307 GW of solar PV installations in 2021. Projections indicate a doubling of its installation capacity by 2025, potentially catalyzing growth in the backsheet market during the forecast period. Additionally, as the world's second-largest economy, China is actively promoting the adoption of solar PV generation among residential and commercial users. In August 2021, the National Energy Administration (NEA) greenlit a pilot program aimed at accelerating the deployment of rooftop solar PV installations across the country. Consequently, by 2023, existing residential and commercial buildings will be mandated to integrate rooftop solar PV systems, further stimulating market expansion. Furthermore, the cost of solar PV installations in the residential and commercial sectors has witnessed a notable decline over the past decade. For instance, data from the International Renewable Energy Agency (IRENA) indicates that in 2020, the cost of residential and commercial solar PV installations in China stood at USD 746 per kW and USD 691 per kW, respectively, down from USD 2,856 per kW and USD 2,524 per kW in 2012. The national government's target of doubling renewable generation by 2025 from 2020 levels, coupled with provincial targets and project pipeline dynamics, suggests a rapid pace of deployment. Provincial targets for wind and solar power add up to 1,263 GW by 2025, potentially enabling China to achieve its 2030 Nationally Determined Contribution (NDC) target five years ahead of schedule.

Figure 2: Asia Pacific Solar Backsheet Market Share By Country 2023 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

APAC Solar Backsheet Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Solar Backsheet market grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Solar Backsheet industry must offer cost-effective items.

Major players in the Solar Backsheet market are attempting to increase market demand by investing in research and development operations, including Toyo Aluminium KK, Taiflex Scientific Co. Ltd, Hangzhou First Applied Material Co. Ltd, Toray Industries Inc., ZTT International Limited, DuPont de Nemours Inc., Arkema SA, 3M Co., Hanwha Group, Brij Encapsulants, and others.

Key Companies in the APAC Solar Backsheet market include

• Toyo Aluminium KK


• Taiflex Scientific Co. Ltd


• Hangzhou First Applied Material Co. Ltd


• Toray Industries Inc.


• ZTT International Limited


• DuPont de Nemours Inc.


• Arkema SA


• 3M Co.


• Hanwha Group


• Brij Encapsulants

APAC Solar Backsheet Industry Developments

September 2022: Sharp, a Japanese company, introduced an updated version of its NU-JC410 solar panel, featuring a half-cut monocrystalline PERC design with a 21% efficiency rating and a power output of 410 W. The lightweight NU-JC410B module is equipped with a white backsheet and a black frame, making it suitable for both short and long-frame side clamping. It is well-suited for residential, small-scale commercial, and industrial rooftop installations.

September 2022: the Indian government approved the second tranche of the performance-linked incentive (PLI) scheme aimed at bolstering the manufacturing of solar photovoltaic (PV) modules within the country. This initiative is anticipated to attract direct investments totaling approximately USD 11.35 billion and foster manufacturing capacity for various materials, including EVA, solar glass, and backsheets, among others.

APAC Solar Backsheet Market Segmentation:

Solar Backsheet Type Outlook

• Fluoropolymer


• Non-fluoropolymer

Solar Backsheet Regional Outlook

• Asia Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Indonesia
  
  
  • Thailand
  
  
  • Vietnam
  
  
  • Malaysia
  
  
  • Singapore
  
  
  • Rest of Asia-Pacific