Gintech Thailand subsidiary has been established to set up a 350 MW solar cell production line in Thailand. It is expected to commence commercial operation in the first quarter of 2016.
Taiwanese cell manufacturer, Gintech Energy has established Gintech (Thailand) in order to begin commercial solar cell production in Thailand. An initial investment of US$45 million is being made to acquire land, the facility and equipment.
The manufacturing facility is scheduled to be operational by late this year, while commercial production is expected to commence in Q1 2016. Gintech said the Thai Government has granted the venture “maximum support”.
No further details were provided and the company was unavailable for immediate comment.
The move has come on the back of falling prices for cells in markets like China and Taiwan, due to the imposition of trade barriers. Gintech mentions in a statement released that average selling prices for cells manufactured in Thailand are 20 per cent higher than those seen in China and Taiwan.
Wen-Yen Pan, chairman and CEO of Gintech Energy added, “We expect Gintech (Thailand) to be profitable when it reaches full utilization, given Thailand’s lower labor, land and facility costs and favorable investment environment.”
In February, Gintech said it was mulling the idea of relocation on the back of US import tariffs of up to 27.55 per cent, in order to remain competitive.
