JinkoSolar has announced plans to expand its manufacturing footprint to Saudi Arabia
It will launch a JV with a PIF subsidiary and Vision Industries for n-type technology
The manufacturing facility will have 10 GW each of high-efficiency solar cell and module capacity
Saudi Arabia is likely to host high efficiency solar cells and module production capacity of 10 GW each with leading Chinese PV manufacturer JinkoSolar announcing a partnership with the wholly-owned subsidiary of Saudi Arabia’s sovereign wealth fund Public Investment Fund (PIF) and Vision Industries Company (VI).
JinkoSolar’s indirectly majority-owned subsidiary JinkoSolar Middle East DMCC has entered into a shareholders agreement with PIF’s Renewable Energy Localization Company (RELC) and VI. In a press statement, JinkoSolar describes Vision as a local investor and developer of green energy industrial projects and local supply chains.
The trio will own 40%, 40% and 20% equity interest in the proposed JV, respectively, whose formation is subject to regulatory approvals.
JinkoSolar will bring to the table its n-type technology to the partnership. The manufacturing facility is expected to be built for close to $1 billion. It will be funded through a combination of internal funds and external financing. The location of the proposed fab is not yet known.
“This partnership is another major milestone in the execution of our globalization strategy, and will further help us optimize our global manufacturing and marketing infrastructure, as well as enhance our global competitiveness,” said JinkoSolar Chairman and CEO Xiande Li. JinkoSolar has 14 production facilities globally.
Saudi Arabia is emerging as a strong solar PV market as the country plans to tender 20 GW solar and wind energy capacity annually (see Saudi Arabia Scouting For RE Project Locations).
Recently, US solar tracker manufacturer GameChange Solar launched a strategic partnership with China’s JZNEE to establish a 3 GW manufacturing fab in Saudi Arabia’s Dammam, that can be expanded to 5 GW (see US Solar Tracker Company Expanding Into Saudi Arabia).
JinkoSolar’s compatriot, Chinese polysilicon giant GCL Technology is also exploring Saudi Arabia for a 120,000 tons/year factory (see Chinese Polysilicon Company Eyeing Middle East).