Solar module majors bullish on Vietnam

By Tuong Thuy
Mon, May 23, 2022 | 9:11 am GMT+7

Vietnam has attracted global producers of solar modules and panels, with major American, Canadian, and Chinese investors already present, as the tropical country is ramping up investment in solar and wind power.

Shanghai-based JinkoSolar, First Solar from Tempe, Arizona, and Canada-headquartered Canadian Solar have made manufacturing in Vietnam an important part of their global production networks.

A solar power plant developed by Trung Nam Group in Ninh Thuan province, south central Vietnam. Solar panels, comprised of solar modules inside, are used to create solar power. Photo courtesy of Trung Nam.

A solar power plant developed by Trung Nam Group in Ninh Thuan province, south central Vietnam. Solar panels, comprised of solar modules inside, are used to create solar power. Photo courtesy of Trung Nam.

JinkoSolar's continual expansion

JinkoSolar, one of the world’s top makers of solar modules, has 12 production facilities globally, including two in Vietnam. Both are located in northern Quang Ninh province’s Song Khoai Industrial Park (IP), developed by Thailand’s Amata Corp.

The Chinese giant started building a $366 million silicon wafer plant in the IP late last September to supply its new $500 million solar photovoltaic (PV) cell facility over there, and other plants in Malaysia and the U.S. The 20-hectare wafer plant launched its first products in January this year, less than four months from its groundbreaking ceremony, and seven months ahead of the major’s initial schedule.

Explaining the rapid construction completion, Huang Jinxing, CEO of JinkoSolar (Vietnam) Industries Co., said his company did the job as fast as it could. The provincial administration had also provided full support in investment procedures, helped it rapidly import equipment and machinery, and conveniently bring more than 700 experts to the construction site, he stressed.

The 7-gigawatt (GW) wafer facility, which is also carrying out research and development, is designed with an annual output of 1.43 million silicon ingots and wafers and is expected to have about 2,200 employees when fully operational.

As for the separate PV cell plant, JinkoSolar began construction last April and put it into operation last October with about 2,250 employees. This $500 million investment is expected to generate annual sales of $1.3 billion for the global firm.

So far, JinkoSolar Vietnam has prepared building a residential quarter for its experts in the province’s Ha Long town, and another for workers in nearby Quang Yen town. Investments for the two facilities have not been disclosed.

In southern Vietnam, JinkoSolar and distributor Solar Z have installed 2 megawatts of 535-watt rooftop solar panels at a plant operated by Saigon Alcohol, Beer and Beverage Joint Stock Company (Sabeco) last August. Known for its “Bia Saigon” and “33” brands, Sabeco is Vietnam’s largest brewer. Controlled by Thai Beverage PCL, which acquired a 53.6% stake in 2017 for almost $5 billion, the brewer is carrying out an environmental program to reduce electricity costs.

Vietnam ranks third in the world for newly installed solar power capacity after China and the U.S., according to JinkoSolar. “The demand for PV modules in Vietnam has also been gradually ramped up towards monocrystalline and large silicon wafers,” the Shanghai-based company said in a release last May.

“Vietnam is one of the fastest-growing economies in Asia Pacific. JinkoSolar’s No. 1 position in the market reflects our excellence in product quality, strong network and customer service in the region,” Gener Miao, chief marketing officer of JinkoSolar, said in the release.

“We are pleased to see more innovative enterprises being recognized by top authorities in Vietnam, as the country continues to advocate for clean energy transformation and to drive the high-speed economic development of its PV market,” he added.

The New York Stock Exchange-listed company has 12 productions facilities globally and 21 overseas subsidiaries in Japan, South Korea, Vietnam, India, Turkey, Germany, Italy, Switzerland, the U.S., Mexico, Brazil, Chile, Australia, Canada, Malaysia, the UAE, and Denmark.

$830 million from First Solar

U.S. major First Solar operates three production sites globally - in Ohio; Malaysia’s Kulim; and Ho Chi Minh City, Vietnam’s southern economic hub.

The corporation has invested $830 million in two manufacturing facilities in Dong Nam Industrial Park of Cu Chi district, home to the Tunnels of Cu Chi, a very popular destination among international tourists.

First Solar's Vietnam Career Day is a talent hunting event of the company in the country. Photo courtesy of the firm.

First Solar's Vietnam Career Day is a talent hunting event of the company in the country. Photo courtesy of the firm.

First Solar marked a key milestone in Vietnam in early 2018 when it received the first equipment for manufacturing its latest, high-tech Series 6 PV module. Addressing a gathering at the time, Mike Koralewski, Senior Vice President, First Solar’s global module manufacturing, said, "We have strong customer demand for our new Series 6 product and our investment in Vietnam is a critical component of our future success."

In late March 2020, when Vietnam was facing Covid-19 outbreaks, First Solar stated from its Tempe headquarters that its manufacturing operations at the two Vietnam-based facilities were not impacted by government-mandated restrictions on movement at that time. “The safety of First Solar’s employees is a top priority,” the release noted.

Bread earner for Canadian Solar

In January 2016, the World Bank’s investment arm IFC provided Canadian Solar with a $70 million financing package to fund the Canadian firm’s module production facility in Vietnam and expansion in other markets.

With the financing, Canadian Solar Vietnam built its factory in the Vietnam Singapore Industrial Park (VSIP) Hai Phong in Hai Phong city in the same year. That time’s investment for the facility, according to the city’s data, was $30 million.

Canadian Solar’s reports have shown the significance of the plant to its global business. For example, the company shipped 3 GW of modules to more than 70 countries in the fourth quarter of 2020, with the top five markets ranked by shipments being Vietnam, China, the U.S., Brazil, and Australia. For the full year of 2020, the top five markets ranked by shipments were the U.S., Vietnam, China, Brazil and Japan.

Comments (0)
  • Read More
HCMC's international financial center development to be phased out: city leader

HCMC's international financial center development to be phased out: city leader

Ho Chi Minh City aims to become an international financial center, with related development plan divided into three phases, said Vo Van Hoan, its Vice Chairman.

Economy - Thu, March 27, 2025 | 11:11 pm GMT+7

Car producers in Thailand postpone export models

Car producers in Thailand postpone export models

Car manufacturers in Thailand have decided to delay making some models for export due to U.S. President Donald Trump's new tariff policy.

Southeast Asia - Thu, March 27, 2025 | 10:17 pm GMT+7

Indonesia approves $7 bln budget for food security in 2025

Indonesia approves $7 bln budget for food security in 2025

Indonesia’s Ministry of Finance on Wednesday announced that the government has approved a budget of IRD118 trillion ($7.1 billion) for food security programs in 2025.

Southeast Asia - Thu, March 27, 2025 | 10:14 pm GMT+7

Honda Vietnam rolls out first domestically produced electric scooter

Honda Vietnam rolls out first domestically produced electric scooter

Honda Vietnam has officially launched its first domestically produced electric scooter, the ICON e:, marking a significant step in the company’s electrification and sustainable mobility strategy in Vietnam.

Southeast Asia - Thu, March 27, 2025 | 10:09 pm GMT+7

Vietnam's Quang Ngai seaport system requires over $420 mln investment by 2030

Vietnam's Quang Ngai seaport system requires over $420 mln investment by 2030

The seaport system in the central Vietnam province of Quang Ngai will need about VND10.83 trillion ($423.54 million) in investment by 2030, according to the detailed 2021-2030 development plan for local seaport land and water areas, with a vision to 2050.

Southeast Asia - Thu, March 27, 2025 | 10:06 pm GMT+7

Leading steelmaker Hoa Phat targets record revenue on partial operation of central Vietnam plant

Leading steelmaker Hoa Phat targets record revenue on partial operation of central Vietnam plant

Hoa Phat Group, Vietnam’s top steelmaker, targets a record-high revenue in 2025, driven by the expected partial operation of a steel and iron complex in the central region this year.

Companies - Thu, March 27, 2025 | 8:10 pm GMT+7

Offshore wind power developer CIP seeks long-term cooperation with Vietnam

Offshore wind power developer CIP seeks long-term cooperation with Vietnam

Copenhagen Infrastructure Partners (CIP), a major Danish renewable energy developer, is seeking to reach long-term cooperation with Vietnamese businesses in the offshore wind power sector.

Energy - Thu, March 27, 2025 | 4:16 pm GMT+7

Vietnam giant VinFast moves to expand EV service in Philippines

Vietnam giant VinFast moves to expand EV service in Philippines

VinFast, Vietnam’s largest electric vehicle (EV) manufacturer, has partnered with MGA.414 Corporation, the operator of the JIGA automotive service chain, to expand its EV service network in the Philippines.

Southeast Asia - Thu, March 27, 2025 | 3:48 pm GMT+7

Vietnam's MobiFone officially launches 5G services

Vietnam's MobiFone officially launches 5G services

MobiFone, one of Vietnam’s leading telecommunications providers, has officially commercialized its 5G services, becoming the third network operator in the country to do so.

Southeast Asia - Thu, March 27, 2025 | 3:45 pm GMT+7

Thanh Cong Group inaugurates first automobile manufacturing plant in Vietnam's Quang Ninh province

Thanh Cong Group inaugurates first automobile manufacturing plant in Vietnam's Quang Ninh province

Vietnamese automaker Thanh Cong Group officially inaugurated its Thanh Cong Viet Hung automobile manufacturing plant on Wednesday at the Viet Hung Industrial Park in the northern province of Quang Ninh.

Southeast Asia - Thu, March 27, 2025 | 3:32 pm GMT+7

Vietnam willing to open doors to US agricultural products: minister

Vietnam willing to open doors to US agricultural products: minister

Vietnam is actively preparing to open its market to U.S. agricultural products such as tangerine, plum, and lemon, Vietnamese Minister of Agriculture and Environment Do Duc Duy said on Wednesday.

Economy - Thu, March 27, 2025 | 3:08 pm GMT+7

S Korea chaebol Lotte eyes hypermarket in northern Vietnam

S Korea chaebol Lotte eyes hypermarket in northern Vietnam

South Korean conglomerate Lotte is eyeing projects in Thai Nguyen province, an industrial hub in northern Vietnam, firstly a hypermarket.

Industries - Thu, March 27, 2025 | 12:15 pm GMT+7

Dubai-based PDSI eyes $2.6 bln investment in tourism-golf course project in central Vietnam

Dubai-based PDSI eyes $2.6 bln investment in tourism-golf course project in central Vietnam

PDSI Group, a Dubai-based real estate and consulting firm, has expressed interest in developing a $2.6 billion commercial, tourism, and golf course complex in Binh Thuan, a south-central coastal province of Vietnam.

Real Estate - Thu, March 27, 2025 | 11:38 am GMT+7

S Korea's SK set to divest from Vietnam's giant Vingroup

S Korea's SK set to divest from Vietnam's giant Vingroup

South Korean chaebol SK Group is set to divest from Vietnamese conglomerate Vingroup, according to the former’s annual report 2024.

Companies - Thu, March 27, 2025 | 11:30 am GMT+7

StanChart adjusts USD/VND exchange rate forecast amid changing economic trends

StanChart adjusts USD/VND exchange rate forecast amid changing economic trends

Standard Chartered Bank has adjusted its USD/VND exchange rate forecast, reflecting shifts in global and regional economic conditions.

Economy - Thu, March 27, 2025 | 9:29 am GMT+7

Fund inflows help stabilize Vietnam's stock market: analyst

Fund inflows help stabilize Vietnam's stock market: analyst

As fund inflows are typically long-term investments, they play a key role in stabilizing Vietnam's stock market and preventing sharp fluctuations, according to Nguyen Duy Anh, Chartered Financial Analyst (CFA) at Vietcombank Fund Management Co., Ltd. (VCBF).

Finance - Thu, March 27, 2025 | 8:30 am GMT+7