US-based solar crystal growing furnace maker GT Advanced Technologies has announced plans to write down the majority of its directional solidification system (DSS) inventory, meaning the firm will no longer supply such equipment to the market. The firm expects to write-off around US$80-90 million.
Solar makers noted that the global annual capacity of solar crystal growing furnace equipment is around 50-60GW, but demand is only around 30GW.
Oversupply in the solar market continues to threaten the survival of equipment makers. Germany-based equipment maker Centrotherm reportedly faces financial problems while thin-film equipment firm Oerlikon has been acquired by Japan-based Tokyo Electron Limited.
Demand for equipment has been almost non-existent, in addition, many solar firms that plan to exit the market have been selling second-hand equipment.
GT Advanced has been expanding quickly in recent years. The firm started with crystal growing furnaces, then expanded to upstream polysilicon equipment. GT Advanced has also been expanding to LED sapphire crystal growing equipment. The firm began corporate restructuring at the end of October and laid off 25% of staff.
