Solar Photovoltaic Market Overview
The solar photovoltaic market continues to accelerate as global energy systems shift toward renewable sources. According to Mordor Intelligence, the solar photovoltaic market indicates installed capacity will more than double between 2026 and 2031. This expansion is supported by competitive module pricing, favorable policies, and technological improvements in cell efficiency.
The global solar photovoltaic market size is forecast to expand from 2.91 TW in 2026 to 7.23 TW by 2031, reflecting nearly 19.92% CAGR. Key drivers include declining module costs, U.S. manufacturing incentives, AI-based forecasting, and rising demand from green hydrogen projects.
Upcoming Key Trends
Falling module prices: Average selling prices dropped below USD 0.09/Wp in 2025, enabling grid parity in 140+ countries.
AI-enabled forecasting: Machine learning reduces balancing costs and improves grid efficiency.
Green hydrogen demand: Electrolyzer projects in Saudi Arabia, Europe, and Australia drive large-scale solar procurement.
Solar Photovoltaic Market Segmentation
By Technology
- Monocrystalline silicon (dominant, 86.1% share in 2025)
- Multicrystalline silicon (declining share)
- Thin-film (favored in hot climates)
- Tandem/Perovskite (fastest growth, 31.1% CAGR)
By Deployment Type
- Ground-mounted (75.5% share in 2025)
- Rooftop/Building-integrated PV (18.3% share)
- Floating PV (fastest-growing segment)
By End-User
- Utility-scale IPPs (63.2% share in 2025)
- Residential (fastest growth, 22.7% CAGR)
- Commercial & Industrial (14.6% share)
By Geography
- Asia-Pacific (largest, 64.3% share in 2025)
- Middle East & Africa (fastest-growing, 21.5% CAGR)
- North America (12.8% share)
- Europe (9.4% share)
- South America (notable growth in Brazil)
Explore In-Depth Insights and Regional Perspectives, Including Localized Editions in the Japan Market: https://www.mordorintelligence.com/ja/industry-reports/solar-photovoltaic-market?utm_source=abnews
Solar Photovoltaic Industry Key Players
- LONGi Green Energy
- Trina Solar
- JinkoSolar
- JA Solar
- First Solar
- Other notable companies: Canadian Solar, Hanwha Q Cells, SunPower, Risen Energy, Adani Solar, Waaree Energies.
Dominating Country
China remains the dominant country in the Solar Photovoltaic Market, accounting for the largest installed capacity globally. In 2025, China added over 210 GW of new projects, reinforcing its leadership. The country’s strong manufacturing base, government-backed incentives, and large-scale utility projects ensure its continued dominance. China’s role in driving down module costs also benefits emerging markets worldwide, making solar PV more accessible and boosting overall solar photovoltaic market share.
Conclusion
The solar photovoltaic market is entering a high-growth phase, with Asia-Pacific leading global adoption and the Middle East & Africa emerging as the fastest-growing region. With falling costs, supportive policies, and integration into hydrogen and storage projects, solar PV is set to remain a cornerstone of the global energy transition.
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