SunWize Takes the Risk Out of Buying Chinese Modules with Trina Solar

As the market for residential and commercial PV continues to get more competitive, installers are feeling the pressure to provide lower prices. Modules from Chinese manufacturers have been a temptation for many with their very attractive price point. The cost savings then can be passed on to the end customer and/or used to improve margins. However, many installers wisely resisted the urge with concerns about product quality, service, warranty, and company viability. SunWize has been aware of the need for a low cost, entry level module. Our Strategic Product Planning team evaluated a number of Chinese modules and module manufacturers. In the end, after an in-depth, thorough process, they selected Trina Solar as having both the product and organization that meets our high standard.

The SunWize Vetting Process
One of the important services SunWize provides installers is the thoroughness and diligence in which we select new products and vendors. You can be assured that the technology, quality and supplier meet our strict criteria, which enables you and your customers to have confidence in the product.

In the case of Trina Solar, we underwent a rigorous evaluation process that included: examining the product, assessing manufacturing quality and capabilities and negotiating a viable business agreement that protects our customers and their customers. We were impressed with Trina Solar’s products on paper, so the next step was to order some containers and have our dealers install them and tell us what they thought. We’ve been selectively selling them for a couple of months now and have had only positive feedback. In March, three key members of the SunWize team travelled to China to tour Trina Solar’s manufacturing facilities and meet with top management. This team included module manufacturing expert Rob Spotts, VP of our Specialty Products Division (which makes SunWize’s custom modules), Executive VP David Kaltsas (overseeing all facets of the business relationship) and Kaz Nishizaki, Director of Strategic Product Planning. All were impressed by what they saw. We are now in the final stages of crafting a distribution agreement that includes details related to warranty, returns and technical support.

Who is Trina Solar?
Trina Solar (www.trinasolar.com) is a publically traded (NYSE: TSL) company headquartered in Changzhou, China operating internationally with offices in Germany, Spain and the United States as well as a team of local sales managers in key countries in Europe and Asia. Currently, it is the #3 Chinese module manufacturer with almost 1 Gigawatt of manufacturing capacity. The company has been consistently profitable with a net income of $98M on revenues of over $845M in 2009. In 2008 and 2007, Trina Solar net revenues were $832 million and $302 million, respectively. Trina Solar also offers after-sales technical service support to its Asian, European and North American customers.

Trina Solar has successfully developed into a leader in the PV industry based on its strong vertically integrated business model, producing its own ingots, wafers, cells and modules in-house. The control and efficiency achieved from this integrated value chain helps to continuously improve the production process as well as ensure high quality and cost-effective products.

The research, development and manufacturing of ingots, wafers, cells and solar modules are conducted at Trina Solar’s facilities in Changzhou, China, where the company occupies a site of approximately 152,526 square meters. Trina Solar's ongoing expansion plans include adding approximately 161,475 square meters to its existing facilities to increase its production capacity. The company has long-term partnerships with leading equipment suppliers in Switzerland, Italy, Germany and the United States, who provide cutting edge equipment with the latest technology for high-quality production.

Current Trina Products Carried, Trina Value Proposition
Trina Solar produces and commercializes a wide variety of PV modules, both monocrystalline and multicrystalline, with power outputs ranging from 165W to 230W. SunWize has started out by stocking the TSM-PA05, 230 watt polycrystalline module. We can also obtain any Trina Solar module on a special order basis. For example, we have quoted the TSM-DA01, 175 watt monocrystalline for specific commercial projects. SunWize intends to add additional models to our inventory over time.

The table link below shows how the TSM-PA05, 230 watt polycrystalline module stacks up against first-tier competitors. The key to the value of Trina Solar modules is the cost per kWh. With a price of under $2.00 per watt, the TSM-PA05, 230 delivers very high electricity production for the dollar. This translates into both a lower price and a higher value than anything else in its class. Noteworthy is that the current power tolerance of +3%/-3%, according to Trina, will be improved to +3%/-0% in the next three to four months. The only other manufacturer that will guarantee performance and quality to this degree is industry leader SANYO.