Glass in the future 2-3 years or will maintain a tight supply


The glass industry is limited by the supply-side reform, capacity can not expand, only the stock capacity recovery. Excluding the short concentrated cold repair during the epidemic in 2020, the average annual capacity growth rate of glass from 2019 to 2021 is only 3% based on the low capacity in 2019. The industry’s in-production capacity from 2021 to mid-July is 52.24 million tons/year, up 10.6% from the same period in 2020 and 8.8% from 2019. The gap between supply and demand has led to continued strength in glass in recent years. In addition, China’s photovoltaic installed capacity is increasing rapidly, the market is expected to accompany the advent of the photovoltaic parity era, the industry is expected to maintain a compound growth rate of more than 20% before 2025.

Depp on Securities said that under the guidance of the goal of “carbon peak, carbon neutrality”, the photovoltaic industry is expected to maintain rapid development in the future. It is expected that during the “14th Five-Year plan”, the world’s annual average new installed capacity will reach 210-260GW. At the same time, with the continuous improvement of the permeability of dual-glass components, the demand for photovoltaic glass will maintain high growth. West China Securities analysis, a neutral conservative estimate of photovoltaic glass during the 145-year average annual demand of 12.5 million tons, even considering the production of new capacity, the industry will maintain a tight supply in the next 2-3 years.