IDEAS home Printed from https://ideas.repec.org/a/gam/jeners/v13y2020i21p5841-d442083.html
   My bibliography  Save this article

Technological Progress and Supply Base under Uncertain Market Conditions: The Case Study of the Taiwanese c-Si Solar Industry 2016–2019

Author

Listed:
  • Wang Lai Wang

    (Industrial Engineering and Management Department, National Kaohsiung University of Science and Technology No. 415, Jiangong Road, Sanmin District, Kaohsiung City 807, Taiwan)

  • Marek Kryszak

    (Industrial Engineering and Management Department, National Kaohsiung University of Science and Technology No. 415, Jiangong Road, Sanmin District, Kaohsiung City 807, Taiwan)

Abstract

The recent years of the PV industry have been demarcated by a severe imbalance of manufacturing capacities versus demand. The goal of our research was to assess the technological progress and evolution of the Taiwanese c-Si PV supplier industry structure during the period of 2016 to 2019 when the end-product experienced price volatility. The analysis was conducted based on data derived from Taiwanese manufacturers and industry sources with regard to current technological and market trends. We illuminate two main conclusions: the industry is advancing consolidation, and it is decreasing the pace of technological advancements, especially in comparison to its Chinese counterparts. The study suggests there is a need for improving efficiencies in the production processes, and shifting toward downstream segments in order to maximize the utilization of resources in the segments with the highest profit margins.

Suggested Citation

  • Wang Lai Wang & Marek Kryszak, 2020. "Technological Progress and Supply Base under Uncertain Market Conditions: The Case Study of the Taiwanese c-Si Solar Industry 2016–2019," Energies, MDPI, vol. 13(21), pages 1-25, November.
  • Handle: RePEc:gam:jeners:v:13:y:2020:i:21:p:5841-:d:442083
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1996-1073/13/21/5841/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/1996-1073/13/21/5841/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Felix Groba & Jing Cao, 2015. "Chinese Renewable Energy Technology Exports: The Role of Policy, Innovation and Markets," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 60(2), pages 243-283, February.
    2. Chenavaz, Régis, 2012. "Dynamic pricing, product and process innovation," European Journal of Operational Research, Elsevier, vol. 222(3), pages 553-557.
    3. Xiong, Yongqing & Yang, Xiaohan, 2016. "Government subsidies for the Chinese photovoltaic industry," Energy Policy, Elsevier, vol. 99(C), pages 111-119.
    4. Sun, Xingshu & Khan, Mohammad Ryyan & Deline, Chris & Alam, Muhammad Ashraful, 2018. "Optimization and performance of bifacial solar modules: A global perspective," Applied Energy, Elsevier, vol. 212(C), pages 1601-1610.
    5. Chen, Wei-Ming & Kim, Hana & Yamaguchi, Hideka, 2014. "Renewable energy in eastern Asia: Renewable energy policy review and comparative SWOT analysis for promoting renewable energy in Japan, South Korea, and Taiwan," Energy Policy, Elsevier, vol. 74(C), pages 319-329.
    6. Liu, Jicheng & Lin, Xiangmin, 2019. "Empirical analysis and strategy suggestions on the value-added capacity of photovoltaic industry value chain in China," Energy, Elsevier, vol. 180(C), pages 356-366.
    7. Sun, Honghang & Zhi, Qiang & Wang, Yibo & Yao, Qiang & Su, Jun, 2014. "China’s solar photovoltaic industry development: The status quo, problems and approaches," Applied Energy, Elsevier, vol. 118(C), pages 221-230.
    8. Engle, Robert & Granger, Clive, 2015. "Co-integration and error correction: Representation, estimation, and testing," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 39(3), pages 106-135.
    9. Zhu, Lei & Xu, Yuan & Pan, Yingjie, 2019. "Enabled comparative advantage strategy in China's solar PV development," Energy Policy, Elsevier, vol. 133(C).
    10. Lo, Chih-Cheng & Wang, Chun-Hsien & Huang, Chun-Chien, 2013. "The national innovation system in the Taiwanese photovoltaic industry: A multiple stakeholder perspective," Technological Forecasting and Social Change, Elsevier, vol. 80(5), pages 893-906.
    11. Yun, Sunyoung & Lee, Joosung & Lee, Sungjoo, 2019. "Technology development strategies and policy support for the solar energy industry under technological turbulence," Energy Policy, Elsevier, vol. 124(C), pages 206-214.
    12. Corwin, Samuel & Johnson, Timothy L., 2019. "The role of local governments in the development of China's solar photovoltaic industry," Energy Policy, Elsevier, vol. 130(C), pages 283-293.
    13. Zou, Hongyang & Du, Huibin & Ren, Jingzheng & Sovacool, Benjamin K. & Zhang, Yongjie & Mao, Guozhu, 2017. "Market dynamics, innovation, and transition in China's solar photovoltaic (PV) industry: A critical review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 69(C), pages 197-206.
    14. Liou, Hwa Meei, 2010. "Policies and legislation driving Taiwan's development of renewable energy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(7), pages 1763-1781, September.
    15. Wang, Yong-hua & Luo, Guo-liang & Guo, Yi-wei, 2014. "Why is there overcapacity in China's PV industry in its early growth stage?," Renewable Energy, Elsevier, vol. 72(C), pages 188-194.
    16. Wang, Chi-Tai & Chiu, Chui-Sheng, 2014. "Competitive strategies for Taiwan's semiconductor industry in a new world economy," Technology in Society, Elsevier, vol. 36(C), pages 60-73.
    17. Shuai, Jing & Chen, Chien-fei & Cheng, Jinhua & Leng, Zhihui & Wang, Zihan, 2018. "Are China's solar PV products competitive in the context of the Belt and Road Initiative?," Energy Policy, Elsevier, vol. 120(C), pages 559-568.
    18. Zheng, Cheng & Kammen, Daniel M., 2014. "An innovation-focused roadmap for a sustainable global photovoltaic industry," Energy Policy, Elsevier, vol. 67(C), pages 159-169.
    19. Liu, Chung-Shu & Hsiao, Chih-Tung & Chang, Dong-Shang & Hsiao, Cheng-Hsing, 2016. "How the European Union’s and the United States’ anti-dumping duties affect Taiwan's PV industry: A policy simulation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 53(C), pages 296-305.
    20. Wu, Ching-Yan & Mathews, John A., 2012. "Knowledge flows in the solar photovoltaic industry: Insights from patenting by Taiwan, Korea, and China," Research Policy, Elsevier, vol. 41(3), pages 524-540.
    21. John Mathews & Mei-Chih Hu & Ching-Yan Wu, 2011. "Fast-Follower Industrial Dynamics: The Case of Taiwan's Emergent Solar Photovoltaic Industry," Industry and Innovation, Taylor & Francis Journals, vol. 18(2), pages 177-202.
    22. Zhang, Fang & Gallagher, Kelly Sims, 2016. "Innovation and technology transfer through global value chains: Evidence from China's PV industry," Energy Policy, Elsevier, vol. 94(C), pages 191-203.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Liu, Chang & Liu, Linlin & Zhang, Dayong & Fu, Jiasha, 2021. "How does the capital market respond to policy shocks? Evidence from listed solar photovoltaic companies in China," Energy Policy, Elsevier, vol. 151(C).
    2. Xu, Li & Zhang, Qin & Wang, Keying & Shi, Xunpeng, 2020. "Subsidies, loans, and companies' performance: evidence from China's photovoltaic industry," Applied Energy, Elsevier, vol. 260(C).
    3. Yan, Chen & Ji, Yaxing & Chen, Rui, 2023. "Research on the mechanism of selective industrial policies on enterprises' innovation performance ——Evidence from China's photovoltaic industry," Renewable Energy, Elsevier, vol. 215(C).
    4. Zou, Hongyang & Du, Huibin & Ren, Jingzheng & Sovacool, Benjamin K. & Zhang, Yongjie & Mao, Guozhu, 2017. "Market dynamics, innovation, and transition in China's solar photovoltaic (PV) industry: A critical review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 69(C), pages 197-206.
    5. Bruns, Stephan B. & Kalthaus, Martin, 2020. "Flexibility in the selection of patent counts: Implications for p-hacking and evidence-based policymaking," Research Policy, Elsevier, vol. 49(1).
    6. Zhang, Lingxian & Wang, Jieqiong & Wen, Haojie & Fu, Zetian & Li, Xinxing, 2016. "Operating performance, industry agglomeration and its spatial characteristics of Chinese photovoltaic industry," Renewable and Sustainable Energy Reviews, Elsevier, vol. 65(C), pages 373-386.
    7. Zhu, Xiangdong & He, Canfei & Gu, Zhutong, 2021. "Benefit from local or destination? The export expansion of Chinese photovoltaic industry under trade protection," Energy Economics, Elsevier, vol. 104(C).
    8. Shubbak, Mahmood H., 2019. "The technological system of production and innovation: The case of photovoltaic technology in China," Research Policy, Elsevier, vol. 48(4), pages 993-1015.
    9. Gandenberger, Carsten, 2018. "China's trajectory from production to innovation: Insights from the photovoltaics sector," Working Papers "Sustainability and Innovation" S03/2018, Fraunhofer Institute for Systems and Innovation Research (ISI).
    10. Bongsuk Sung & Myung-Bae Yeom & Hong-Gi Kim, 2017. "Eco-Efficiency of Government Policy and Exports in the Bioenergy Technology Market," Sustainability, MDPI, vol. 9(9), pages 1-18, September.
    11. Hao Cai & Ling Liang & Jing Tang & Qianxian Wang & Lihong Wei & Jiaping Xie, 2019. "An Empirical Study on the Efficiency and Influencing Factors of the Photovoltaic Industry in China and an Analysis of Its Influencing Factors," Sustainability, MDPI, vol. 11(23), pages 1-22, November.
    12. Jun Jin & Zhengyi Zhang & Liying Wang, 2019. "From the Host to the Home Country, the International Upgradation of EMNEs in Sustainability Industries—The Case of a Chinese PV Company," Sustainability, MDPI, vol. 11(19), pages 1-19, September.
    13. Maria A. Franco & Stefan N. Groesser, 2021. "A Systematic Literature Review of the Solar Photovoltaic Value Chain for a Circular Economy," Sustainability, MDPI, vol. 13(17), pages 1-35, August.
    14. Nuñez-Jimenez, Alejandro & Knoeri, Christof & Hoppmann, Joern & Hoffmann, Volker H., 2022. "Beyond innovation and deployment: Modeling the impact of technology-push and demand-pull policies in Germany's solar policy mix," Research Policy, Elsevier, vol. 51(10).
    15. Zou, Hongyang & Du, Huibin & Brown, Marilyn A. & Mao, Guozhu, 2017. "Large-scale PV power generation in China: A grid parity and techno-economic analysis," Energy, Elsevier, vol. 134(C), pages 256-268.
    16. Ruyin Long & Wenhua Cui & Qianwen Li, 2017. "The Evolution and Effect Evaluation of Photovoltaic Industry Policy in China," Sustainability, MDPI, vol. 9(12), pages 1-40, November.
    17. Marina Van Geenhuizen & Pieter Stek, 2015. "Mapping innovation in the global photovoltaic industry: a bibliometric approach to cluster identification and analysis," ERSA conference papers ersa15p697, European Regional Science Association.
    18. Wang, Chi-Tai & Chiu, Chui-Sheng, 2014. "Competitive strategies for Taiwan's semiconductor industry in a new world economy," Technology in Society, Elsevier, vol. 36(C), pages 60-73.
    19. Augusto Ninni & Ping Lv & Francesca Spigarelli & Pengqi Liu, 2020. "How home and host country industrial policies affect investment location choice? The case of Chinese investments in the EU solar and wind industries," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 47(4), pages 531-557, December.
    20. Yiping Liu & Jian Chen & Lingjun Wang, 2020. "Research on Self-Organizing Evolution Level of China’s Photovoltaic Industry Chain System," Sustainability, MDPI, vol. 12(5), pages 1-22, February.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jeners:v:13:y:2020:i:21:p:5841-:d:442083. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.