JA Solar has announced an agreement with the Ordos government in China’s Inner Mongolia for CNY 40 billion investment. The company plans to build a manufacturing base to produce 100,000 tons to 150,000 tons of polysilicon. It will be JA Solar’s first project dedicated to the production of the material.
Previously, JA Solar mainly sourced polysilicon by signing long-term orders with polysilicon manufacturers. Since 2021, the company has signed multiple long-term contracts with Daqo Energy, Asia Silicon, and other polysilicon companies.
After the completion of its project in Ordos, the polysilicon produced at the new fab will be able to meet the needs of 40 GW to 60 GW modules.
The capacity expansion plan in the city also includes building factories for the production of 20 GW ingot, 20 GW wafer, 30 GW solar cell, and 10 GW module.
In 2022, JA Solar has announced nine production expansion plans for its vertically integrated capacity, with a total investment of around CNY 50 billion.
By the end of 2022, JA Solar’s module production capacity exceeded 50 GW, with wafer and cell accounting for about 80% of the module production capacity.
It is estimated that by the end of 2023, the production capacity of modules will surpass 75 GW, and that of wafer and cell will increase accordingly.
JA Solar is not the first manufacturer to have announced an investment of over CNY 40 billion since the start of 2023.
On January 17, LONGi Green Energy said it plans to inject an estimated CNY 45.2 billion to set up a facility to produce 100 GW mono wafer and 50 GW mono cell.
