Per the agreement, the two companies will reinforce their cooperation in strengthening the product distribution and bring more quality solar modules to the people in Mexico, hence, making the energy mix in Mexico greener and cleaner.
Footprint Strategy in Latin America
JA Solar has been active in Mexico since its market entry in 2016 and has established its subsidiary JA Solar Mexico SA de CV in 2017, solidifying its foothold in Mexico and its first step of expanding into Latin America. The company has commissioned several utility-scale projects and worked with local distributors in Mexico since then.
Chinese PV conglomerate JA Solar has recently signed a cooperation agreement with Mexican solar photovoltaic product distributor Exel Solar.
The Chinese PV tech giant considers Latin America and Caribbean as a region with enormous potential for growth, especially in Mexico, which is confirmed by the research conducted by EnergyTrend, the Green Energy Research Division from TrendForce.
Mexico’s Country Profile as A Solar Energy Market
In 2019, Mexico's cumulative installed PV capacity has reached 5GW. And the newly installed PV capacity stood at 2.5GW, which has increased by 4.15%, compared with the 2018 annual grid connection (2.4GW), according to EnergyTrend’s Global Market Demand Report 2020Q1.
The coronavirus crisis has hit Mexico and its economy hard. Its budding solar energy industry is also one of the victims of the pandemic.
In 2019, Mexico's cumulative installed PV capacity has reached 5GW. And the newly installed PV capacity stood at 2.5GW, which has increased by 4.15%
The consequent monitoring and prevention measures imposed by the government, such as the social distancing, movement restrictions, have ground the Mexican PV industry to a halt. The majority of the photovoltaic projects were postponed as a result.
The Mexican market demand was relatively weaker in the first three quarters of 2020. And the market demand was down 40% YoY. However, the analysts at EnergyTrend are confident that the demand will spike in the 4th quarter as pandemic is getting under control.
JA Solar’s local partner Exel Solar has more than 12 years of experience in the Mexican solar market. The Mexican PV product distributor is specialized in distributing the leading solar brands to system integrators who in turn provide solutions to their residential, commercial and industrial customers in Mexico.
"We are very happy to continue being JA Solar leading distributor in Mexico," said Horacio Duhart, CEO of Exel Solar. "JA Solar has been an outstanding partner that not only provides top quality solar modules but also their excellent sales and operations support has helped Exel Solar to become the leading distributor in Mexico."
JA Solar’s Comment
"We are thrilled that our PV products have received high recognition from the Mexican market," said Jin Baofang, Chairman of the Board of Directors and CEO of JA Solar. "The partnership agreement marks another new milestone in developing and delivering PV products with high performance and cutting-edge technologies for our customers in Mexico. JA Solar is excited to be working with Exel Solar to introduce more high-quality solar modules and supply world-class solar projects in the country through this partnership."
"Looking forward, we will further strengthen our cooperation with distributors around the world to provide better quality services to our global customers and contribute to the development of the PV industry," Jin Baofang added.