Competes for top share in advanced markets
Regarding the efforts to develop the markets focusing on the USA and India, Hidehiko Kikuchi, vice president of TMEIC, said, "The North American market leads the world in technologies, and we will be able to strengthen our position as a leading company in the power electronics field by manufacturing the products and competing for the top share in advanced markets including the US market."
In regard to the solar power market in the USA, "The solar power market in North America will remain strong even if the support systems such as tax benefits are discontinued following the decline in solar power generation costs," Kikuchi said. "Costs for solar power generation are becoming less expensive compared with the costs for thermal power generation using fossil fuels, which is a strong trend, and solar power will expand regardless of the supporting systems if the trend continues (Fig. 8)."
As for the reason for positioning India as one of the top priority regions, he said, "The economic growth rate is the highest in India among the four major markets, Japan, the USA, China and India, and the Indian government is strongly promoting renewable energies and energy-saving. The market of power electronics products including PV inverters and inverters will grow steadily in the country. Furthermore, India is close to the Middle East and Southeast Asia, where the market is expected to grow in the future."
The new factory in India has a total floor space of approximately 12,000m2 and is the largest in scale among PV inverter factories operated by TMEIC.
"The Indian factory has an advantage in terms of location and could become the base of our overseas strategies for offering high-quality products to regions throughout the world at a low cost," vice president Kikuchi said, explaining the background and expressing his expectations.
The company will focus on demand in India for the time being, but it is considering the possibility of exporting products to the Middle East and Southeast Asia as well as reimporting them to Japan, in the near future.