Solar Tracker Market

Solar Tracker Market Size:

The global solar tracker market size reached US$ 6.6 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 30.2 Billion by 2032, exhibiting a growth rate (CAGR) of 17.9% during 2024-2032. The global market is majorly driven by increasing adoption of renewable energy, continual technological advancements, cost reductions in solar technology, rising demand for utility-scale projects, substantial investments in renewable energy infrastructure, and supportive regulatory policies.

Solar Tracker Market Analysis:

• Major Market Drivers: The main drivers include robust government policies, significant investments in renewable energy infrastructure, and a strong emphasis on reducing carbon emissions and achieving energy independence, which collectively drive the adoption of solar trackers.
• Key Market Trends: Technological advancements such as smart tracking technologies, dual-axis trackers, and AI-integrated systems are key trends, enhancing the efficiency and reliability of solar power installations and augmenting market growth.
• Geographical Trends: North America leads the market, with the United States experiencing substantial growth in solar tracker installations, supported by federal tax credits, state-level incentives, and a favorable investment climate for renewable energy development.
• Competitive Landscape: Some of the major market players in the solar tracker industry include NEXTracker, Array Technologies, Solar Flex Rack, who are focusing on innovation, strategic partnerships, and global expansion to strengthen their market position.
• Challenges and Opportunities: Challenges include the need for continuous technological improvements and managing costs. Opportunities lie in expanding global footprints, developing eco-friendly solutions, and leveraging supportive regulations and incentives to drive further adoption and market growth.
   

Solar Tracker Market Trends:

Increasing adoption of renewable energy

The increasing deployment of renewable energy across the globe is supporting the growth of the market. Solar power becomes a prominent solution when governments and organizations acknowledge the necessity for sustainable energy solutions. Power optimization devices such as the solar trackers that enable the tracking of the sun to optimize the panels efficiency have become crucial. National targets for renewable energy are being established and measures, including tax credit and subsidies are being provided for expansion of solar power systems. This governmental support is further augmenting the growth of the solar tracker industry. The growing interest towards adoption of sustainable energy, especially solar energy due to the drive for low carbon footprint and energy security is also fostering the sales of solar trackers. Moreover, improvements in tracking technologies which make them more dependable and productive are resulting in their increasing appeal to investors and energy companies. According to a report, with current policies and market conditions, global renewable power capacity is projected to increase to 7,300 GW during the 2023-2028 forecast period.

Cost reduction in solar technology

Over the past decade, the cost of solar panels has significantly decreased, making solar energy more economical compared to traditional energy sources. Technological drivers, manufacturing innovation, and increasing demand have reduced the costs of solar trackers that improve the efficiency of solar installation. The reduced costs have made solar energy solutions more popular among residential, commercial and industrial consumers. Additionally, with ongoing advancements, the effectiveness of solar trackers continues to improve. Given their potential for high returns on investment, they are widely utilized in energy projects. This trend is expected to continue as innovation drives further cost reductions and performance improvements in solar tracking technologies.

Rising demand for utility-scale projects

The escalating demand for utility-scale solar projects is driving market growth. These projects necessitate the deployment of efficient tracking systems to maximize production levels, thereby necessitating large-scale installations. Such projects are advantageous as they employ solar trackers to enhance electricity production by ensuring solar panels maintain direct contact with the sun throughout the day. Consequently, the expansion of large-scale utility projects has exerted pressure on the global solar tracker market. Public and private entities are investing significant capital to construct mega-scale solar power plants with special emphasis on areas that receive high levels of solar insulation. The market has also been experiencing this trend due to the increased requirement for tracking systems in utility-scale project development to achieve the required energy output.

Solar Tracker Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on type, tracking type, technology and application.

Breakup by Type:

• Active Solar Tracker
• Passive Solar Tracker
   

Active solar tracker accounts for the majority of the market share

The report has provided a detailed breakup and analysis of the market based on the type. This includes active solar tracker and passive solar tracker. According to the report, active solar tracker represented the largest segment.

Active solar tracker has a tracking mechanism which follows the movement of the sun to avail more of the sun’s energy and in turn produce more power than a fixed solar power system. These systems incorporate motors and sensors in such a way that allows them to track the position of the sun, as a means of achieving maximum correct positioning of the solar panels at any one time. This makes them more efficient in energy harnessing as opposed to passive trackers, which enhances their application in assorted big solar plants. The need to improve and optimize solar energy is putting pressure on economies and this is pushing the uptake of active solar trackers hence leading to the dominance of the solar tracker market share. The active solar trackers are anticipated to dominate the market over the forecast period due to advancements in technology and enhancements in the sensors as well as motor used in the system.

Breakup by Tracking Type:

• Single Axis Tracking
  • HSAT (Horizontal Single Axis Trackers)
  • VSAT (Vertical Single Axis Trackers)
  • TSAT (Titled Single Axis Trackers)
  • PSAT (Polar Aligned Single Axis Trackers)
• Dual Axis Tracking
  • TTDAT (Tip-Tilt Dual Axis Trackers)
  • AADAT (Azimuth-Altitude Dual Axis Trackers)
     

Single axis tracking holds the largest share of the industry

A detailed breakup and analysis of the market based on the tracking type have also been provided in the report. This includes single axis tracking [HSAT (Horizontal Single Axis Trackers), VSAT (Vertical Single Axis Trackers), TSAT (Titled Single Axis Trackers), and PSAT (Polar Aligned Single Axis Trackers)] and dual axis tracking [TTDAT (Tip-Tilt Dual Axis Trackers) and AADAT (Azimuth-Altitude Dual Axis Trackers)]. According to the report, single axis tracking accounted for the largest market share.

The single axis tracking market is dominating the market. This can be attributed to the low installation costs as well as the simplicity involved in tracking a single direction. These trackers revolve on a single bearing plane, the most common of which is the North-South or East-West direction, to track movements of the sun across the surface of the earth. This basic system increases the power production of solar panels more than the simple fixed mount systems yet is simpler than the point focused trackers which increase the cost of the equipment. The solar tracker market report points out that single axis trackers are used especially in utility-scale solar power plant where a balance between price and performance is key. Single axis systems are currently being widely used as they provide excellent performance, and which are cost effective and therefore very important in the tracking systems.

Breakup by Technology:

• Solar Photovoltaic (PV)
• Concentrated Solar Power (CSP)
• Concentrated Photovoltaic (CPV)
   

Solar photovoltaic (PV) represents the leading market segment

The report has provided a detailed breakup and analysis of the market based on the technology. This includes solar photovoltaic (PV), concentrated solar power (CSP), and concentrated photovoltaic (CPV). According to the report, solar photovoltaic (PV) represented the largest segment.

Solar photovoltaic (PV) holds the largest share of the market, as it is the most used technology that has immense potential of generating electricity from sunlight. PV systems are very compatible with solar trackers, as these increases the production of electricity by adjusting the position of the arrays to get the best angle of the sun. Solar tracker market development is stimulated by the rising trends of residential, commercial, and utility-scale projects installed with PV systems. The market also noted that increased PV technology performance, including higher efficient panels and improved compatibility with tracking systems, is also helping to augment the solar tracker market. The continued market dominance by solar PV is a clear indication of the central place that solar will take in the ongoing transition from conventional energy sources to renewable energy.

Breakup by Application:

• Utility Sector
• Residential Sector
• Commercial Sector
   

Utility sector exhibits a clear dominance in the market

A detailed breakup and analysis of the market based on the application have also been provided in the report. This includes utility sector, residential sector, and commercial sector. According to the report, the utility sector accounted for the largest market share.

Utility operations such as large scale solar farms which are intended for the generation of power for the electrical grid benefit significantly from tracking technologies that further helps in positioning the panels for power harvesting. The solar tracker market overview reveals that utility applications remain the most popular type of tracker among the market participants as they aim to increase power production to the maximum extent possible. The continuous construction of solar farms for utility-scale solar farms, incentives from the government, and growing energy needs contribute to the perpetuity of the utility segment in the solar tracker market.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

North America leads the market, accounting for the largest solar tracker market share

The report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada), Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia and others), Europe (Germany, France, the United Kingdom, Italy, Spain, Russia and others), Latin America (Brazil, Mexico and others), and Middle East and Africa. According to the report, North America represents the largest regional market for solar tracker.

North America leads the market due to the development of reliable and effective government policies in addition to sizeable investments in renewable energy structures and favorable environment conditions. Ongoing efforts to decrease carbon emission and move towards energy self-sufficiency have seen the incorporation of solar tracker in the region due to their enhanced effectiveness in solar power systems. The United States stands as one of the key participants in this leadership due to significant growth in the application of solar trackers. This growth is supported by federal tax credit initiatives and state-level incentives and regulations promoting clean energy production. Besides, the key market players are in North America which has expanded strategies towards technological growth and penetration in the market. Such organizations are already operating in the region and, due to the favorable investment environment, are constantly developing and diversifying their production.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the major market players in the solar tracker industry include:

• Arctech Solar Holding Co. Ltd.
• Array Technologies Inc.
• Convert Italia SpA (Valmont Industries Inc.)
• DEGER energie GmbH & Co KG
• First Solar Inc.
• Nextracker Inc. (Flex Ltd.)
• Powerway Renewable Energy Co. (SinoTech Power Group)
• Soltec Energias Renovables S.L.
• Sunpower Corporation (Total S.A.)
   

(Please note that this is only a partial list of the key players, and the complete list is provided in the report.)

The major market players have aimed at strengthening technological portfolios and covering more worldwide regions to propel their solar tracker market standing. Manufacturers, including NEXTracker, Array Technologies and Solar Flex Rack are already engineering superior tracking mechanisms that will greatly enhance the output and stability of systems installed in the utility-scale solar power sector. These innovations are smart tracking technologies, the standard two-axis trackers, and others that use AI to help in energy tracking. Further, the competition in these industries is incrementing as these companies are focusing on forging strategic collaborations, mergers, and acquisitions to tap new segments and expand into new product categories. This way they can come up with a geographical footprint and offer the growing market of solar trackers from different regions through the help of their local and international partners. The use of sustainability in the company is also emphasized with the leading market providing firms implementing eco-efficient and cost effective tracking systems for green energy in compliance with international sustainability trends.

Solar Tracker Market News:

• On 8^th January 2024, Arctech solar handling Co. Ltd has expanded its business to Turkey by forming a partnership with Alpon Energy, a solar company specializing in solar trackers, as well as engineering, procurement, and construction (EPC) work.
• On 22^nd February 2024, Array technologies Inc. and aluminum products company (ALUPCO®) have formed a strategic partnership, combining Array’s industry-leading products with ALUPCO®’s leading production capabilities to expand the growth of renewable energy projects in the Middle East.
• On 4^th January 2024, First Solar Inc. partnered with cleantech solar to procure clean energy for its Sriperumbudur plant. Under the agreement, cleantech solar would provide clean electricity to First Solar’s 3.3 gigawatt vertically integrated solar manufacturing facility in Sriperumbudur.

Solar Tracker Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the solar tracker market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global solar tracker market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the solar tracker industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.