The photovoltaic inverter market suffered a cold spell in the third quarter of 2011. Recent studies have shown that inverter revenue has fallen by 20% year-on-year, while Germany has been designated as the culprit behind this decline. However, short-term price stability and a growing market have given us some relief.

Although the inverter revenue dropped across the board, the research company IMSResearch believes that Germany suffered the most losses. This year, Q3 revenue decreased by 50% year-on-year, and shipments also decreased by one billion watts. At the same time, global inverter shipments decreased year-on-year. 8%.

The short-term stability of IMS indicates that although the inverter price has been reduced by 15% from last year, its price has indeed stabilized, which indicates that the inventory is still stable at the level of “more healthy”.

The exchange rate is also a factor that causes price and income to decline. IMS Research photovoltaic market analysts commented: “Most of the inverters are still sold in Europe. If measured in euros, the average price per watt is stable. However, companies outside the euro area use the US dollar as their trading currency to generate revenue. Due to changes in the exchange rate, compared with the second quarter of this year, the Q3 price fell by 5%, which made them may have felt the pressure from the price.

He went on to say: "Price pressure will continue to plague the market for a while," which means that current price levels will also put pressure on inverter suppliers.

SMA is the leader in the inverter industry and holds more than 30% market share. Its success lies in its strong interest in emerging foreign markets. Haddon explained: "SMA's domestic market has been very strong, and now he has turned his attention to the fast-growing new market. The Americas market accounts for a large proportion of its business. In order to maintain or increase market share, SMA needs to continue Implement this strategy."

Looking ahead, IMS predicts that despite the current problems, the market will continue to grow this year. In 2012, due to the new incentive mechanism in Asia and the increase in activity in the German market before the start of the on-grid tariff reduction plan in January, the company expects its shipments will exceed 25 GW next year.