A Study on Assessing Supply Chain Vulnerabilities of Solar Photovoltaic Materials and Components

Kyung Wan Rho; Byeong In Park; Kyung Yup Kim

doi:10.7836/kses.2024.44.5.023

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2024 Vol.44, Issue 5 Preview Page Next Page

Research Article

A Study on Assessing Supply Chain Vulnerabilities of Solar Photovoltaic Materials and Components 태양광 설비 소재 및 부품의 공급망 취약성 분석 연구

30 October 2024. pp. 23-32

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Abstract

This study analyzes the supply chain vulnerabilities of materials and components in South Korea’s solar photovoltaic (PV) industry. Using a three-step methodology based on the Trade Specification Index (TSI), Herfindahl-Hirschman index (HHI), and Single-Country Dependency (SCD), we analyzed 17 key intermediate products in the solar PV value chain. The analysis identified significant vulnerabilities in six critical components: wafers, solar cells, silver paste, solar modules, low-iron glass, and other module parts. These components demonstrate high import concentrations and single-country dependency, primarily on China. Our findings highlight the increasing dependency on a single country for essential components since 2017, particularly for wafers, ingots, cells, and modules. This dependency presents potential risks to South Korea's energy security and its transition to renewable energy. To mitigate these vulnerabilities, we propose several policy and industry measures, including expanding domestic production capabilities for wafers, cells, and modules, enhancing R&D investments to improve technological competitiveness; diversifying import sources through strategic international partnerships, and fostering a circular economy through recycling technologies for solar modules. Our study provides valuable insights for policymakers and industry stakeholders to develop strategies to strengthen supply chain resilience and competitiveness in South Korea’s solar PV sector, contributing to the country's energy security in the face of global supply chain disruptions.

Keywords

Solar photovoltaic

Supply chain vulnerability

Energy Security

Trade Specification Index

Herfindahl-Hirschman Index

Single Country Dependency

키워드

태양광

공급망 취약성

에너지 안보

무역특화지수

허핀달-허쉬만지수

단일국 의존도

References

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U.S. Department of Energy (DOE), Solar Photovoltaics Supply Chain Deep Dive Assessment, Washington DC, United States of America, 2022.

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Information

Publisher :Korean Solar Energy Society
Publisher(Ko) :한국태양에너지학회
Journal Title :Journal of the Korean Solar Energy Society
Journal Title(Ko) :한국태양에너지학회 논문집
Volume : 44
No :5
Pages :23-32
Received Date : 2024-08-26
Revised Date : 2024-09-23
Accepted Date : 2024-09-23
DOI :https://doi.org/10.7836/kses.2024.44.5.023

Journal of the Korean Solar Energy Society ISSN:1598-6411(Print) 2508-3562(Online) 한국태양에너지학회 논문집

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