Reducing the LCOE is a core goal for the photovoltaic industry. For Yingli Solar, this challenge translates into a clear strategy that combines technological innovation, cost-efficient production, and a progressive product development path based on n-type technology.

“Reducing that dollar-per-watt peak ratio is the challenge for any manufacturer,” affirms Luis Contreras, Managing Director at Yingli Solar.

In conversation with Strategic Energy Europe, he explains that reducing LCOE involves addressing both variables in the equation: on one side, lowering material and process costs, and on the other, increasing the power output and performance of the module.

He adds: “We must reduce costs through processes that are more efficient in energy and water consumption, while also designing cells with higher efficiencies and better performance. That’s how you make that dollar-per-watt ratio smaller.”

Yingli’s current technological focus is centred on n-type TopCon cells, which allow for a better balance between production cost and module performance. “Technological evolution always brings better performance at lower cost,” the executive asserts.

Contreras clarifies that progress is not solely based on new raw materials, but on how these are integrated into advanced technological designs: “The design has changed. The foundation is n-type technology and the next step is n-type with the TopCon label.”

This technology is key to Yingli as it boosts efficiency, reduces degradation, and ensures superior performance under challenging conditions. Furthermore, the company has mapped out a staggered technological roadmap:

2. N-type cells with rear contacts: all contact grids are relocated to the back, maximising the cell’s active surface for solar capture.
3. Tandem cells: based on an n-type cell, new materials such as perovskites are added to capture different light wavelengths on the same surface.

“These are the three steps Yingli has outlined for the future: the current n-type technology, the shift to cells with rear contacts, and the development of tandem cells,” emphasises Contreras, adding that each phase will begin “when the balance between production cost and performance justifies it.”

They estimate three to four years of lifecycle per stage.

LCOE evolution is also shaped by market dynamics. Contreras notes that post-pandemic overstock and overcapacity in Asia led to a price war during 2023-2024. Although Yingli avoided critical inventory issues, he acknowledges: “Overstock in ports such as Rotterdam influenced the price drop.”

He also warns that rapid technological progress requires plant reengineering when replacing outdated modules: “You can’t install a 175W module after 10 years. Redesign is necessary.”

Looking ahead, Contreras highlights that Asian competitiveness is no longer only about low labour costs, but about complete control of raw materials, automation, and quality management. “Today, factories in China are highly automated and digitalised,” he notes.

That is why he stresses that Europe’s challenge is not to stop China, but to reindustrialise by learning from the Asian model: “Chinese companies like Yingli want to be part of Europe’s reindustrialisation—so they must be included.”

In summary, Yingli Solar outlines an LCOE reduction strategy that blends planned technological evolution, production efficiency, and a structured market vision. As Contreras concludes: “There is always room for improvement.”