Taiwan-based solar cell makers, due to concerns about impacts from the possibility of US imposing anti-dumping tariffs on their products, have begun mulling the feasibility of mergers, according to industry sources.
If the US government imposes punitive tariffs on Taiwan-made solar cells, China-based PV module makers are expected to stop relying on Taiwan-based suppliers' cells to be used in modules for the US market, the sources said. Such punitive tariffs will also hamper Taiwan-based makers' exports of solar cells directly to the US, the sources indicated.
Even if the punitive tariffs are not as high as feared, only a few large Taiwan-based solar cell makers can shoulder the extra burden, while smaller ones will still suffer, the sources explained.
Consequently, mergers among Taiwan-based solar cell makers are likely to happen and some less competitive makers may be forced out of the market beginning in 2015, the sources said, adding it is possible that only about three Taiwan-based solar cell makers will survive eventually.