The Global Solar Encapsulation Market size is expected to reach $4.4 billion by 2028, rising at a market growth of 8.4% CAGR during the forecast period.
The process of shielding pricey solar equipment and panels from hazards both physical and environmental is known as solar encapsulation. This increases their effectiveness while reducing costs. The market share of the solar encapsulation process has been sparked by this characteristic.
Barrier films and adhesives are layered in multiple layers on the back sheets of solar modules. By lowering the cost of partial modules, the back-sheet construction helps to increase solar module efficiency by shielding the solar cells from various environmental factors like UV exposure, moisture, and other performance threats. The solar cell is shielded by the encapsulation film, which also guarantees its dependability and performance. By keeping the moisture out, it serves to provide optical and electrical transmissivity. The manufacturing of modules can benefit from increased efficiencies due to encapsulants. A crucial stage in the creation of solar cells is encapsulation. Even the best solar cells cannot create good solar modules without a good encapsulation process.
Urbanization increased demand for solar panels, which in turn raised encapsulation demand, which may be the main factor driving the market. Additionally, the market for solar encapsulation has a lot of growth potential due to the increase in demand for solar lights for street and road dividers.
These factors include the significant increase in demand for solar lights for road dividers and streets, amazing benefits of solar cell encapsulation such as increased attack strength, increased longevity of solar cells, and improved efficiencies of encapsulants in module manufacturing processes. The growing acceptance of solar as a reliable and limitless source of energy and a rise in public awareness of renewable energy sources are also expected to benefit solar encapsulation.
Due to the COVID-19 situation's high peak, solar encapsulation production was put on hold for a set period of time, which had a significant negative impact on sales. Demand for solar panels is inversely correlated with sales of solar encapsulation. The COVID-19 outbreak-induced lockdown had a negative effect on solar projects, which saw a sharp drop in solar encapsulation. Nearly all industries were impacted by COVID-19 because it interfered with various industrial processes and the supply chain. Most businesses stopped operating because of a lack of workers.
The growing market for solar encapsulation is being driven by the expanding demand for rooftop photovoltaic (PV) installation in developing nations. A PV system is an electric power system that uses photovoltaics (PV) to produce using solar power. It consists of a combination of parts, including solar panels that take in and transform sunlight into electricity. There has been a significant shift toward renewable energy sources, such as solar energy, and the construction of PV systems, particularly rooftop PV installations, as a result of growing environmental concerns and the depletion of conventional energy sources.
Many industries are embracing solar energy as a sustainable source of energy. This has mostly been made possible by solar panel manufacturers who invest a lot of money into cleverly making solar panels and related components instead of depending on their competitors. In the future, solar energy will be used more widely, not just in the residential and commercial sectors but also in households. Access to solar energy resources is growing and is probably going to get better.
The high initial cost of purchasing and installation is one of the drawbacks of solar electricity. The price of installing solar panels varies depending on the installation type, accessories, and solar panels. In the event of substantial installations, it might even go beyond this. Although it saves money over time by lowering electricity costs and lowering carbon footprints the initial cost for solar panels is high. Therefore, many of the users run out of budget while installing. Solar panels, wiring, and batteries are all part of this and add up to the cost.
Based on Material, the solar encapsulation market is segmented into Ethylene Vinyl Acetate, Non-ethylene Vinyl Acetate, UV Curable Resin, and others. The UV curable resin segment acquired a significant revenue share in the solar encapsulation market in 2021. To create a single unit that can function independently as a power source, solar cells are linked together in parallel or series. It is required to connect them in series or parallel in order to access the power supply because a single solar cell's output power is insufficient to meet the need for conventional power.
On the basis of technology, the solar encapsulation market is fragmented into polycrystalline silicon solar, cadmium telluride, copper indium gallium selenide, and amorphous silicon. The polycrystalline silicon solar segment held the highest revenue share in the solar encapsulation market in 2021. These solar cells are popular and provide efficiencies between 15 and 25 percent. In polycrystalline solar panels, solar cells with a metal flakes appearance were produced from polycrystalline wafers cut from blocks of molten silicon, comprised of melted silicon fragments.
By application, the solar encapsulation market is divided into constructions, electronics, automotive and others. The electronic segment generated a significant revenue share in the solar encapsulation market in 2021. Electrical components are shielded from the environment using a process called electronic encapsulation. This can be accomplished by substances like epoxy, silicone, or potting compound. Electronic encapsulation is the process of covering an electronic assembly in a substance to protect it from shock, vibration, and corrosion.
| Report Attribute | Details |
|---|---|
| Market size value in 2021 | USD 2.6 Billion |
| Market size forecast in 2028 | USD 4.4 Billion |
| Base Year | 2021 |
| Historical Period | 2018 to 2020 |
| Forecast Period | 2022 to 2028 |
| Revenue Growth Rate | CAGR of 8.4% from 2022 to 2028 |
| Number of Pages | 223 |
| Number of Tables | 377 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Companies Strategic Developments, Company Profiling |
| Segments covered | Material, Technology, Application, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Region wise, the solar encapsulation market is analyzed across North America, Europe, Asia Pacific and LAMEA. In 2021, the Asia Pacific region led the solar encapsulation market with the largest revenue share. Large consumer base, industrialization, and urbanization are considerations. The rapid adoption of electrical products and rising industry has increased energy demand.
Free Valuable Insights: Global Solar Encapsulation Market size to reach USD 4.4 Billion by 2028
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include 3M Company, Dupont De Nemours, Inc., First Solar, Inc., Dai Nippon Printing Co., Ltd. (dnpSolar), Dow, Inc., Hangzhou First PV Material Co. Ltd., Kuraray Co., Ltd.
By Material
By Technology
By Application
By Geography
The global Solar Encapsulation Market size is expected to reach $4.4 billion by 2028.
Rooftop Photovoltaic (PV) Installation Demand is increasing are driving the market in coming years, however, High Cost of Installation restraints the growth of the market.
3M Company, Dupont De Nemours, Inc., First Solar, Inc., Dai Nippon Printing Co., Ltd. (dnpSolar), Dow, Inc., Hangzhou First PV Material Co. Ltd., Kuraray Co., Ltd.
The Ethylene Vinyl Acetate market acquired the high market share in the Global Solar Encapsulation Market by Material in 2021; thereby, achieving a market value of $2.5 billion by 2028.
The Asia Pacific market dominated the Global Solar Encapsulation Market by Region in 2021; thereby, achieving a market value of $1.6 billion by 2028.
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